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Council votes to notify county of intent to exceed revenue neutral rate, schedules public hearings
Summary
Council authorized staff to notify Johnson County that Merriam intends to exceed the revenue neutral property‑tax rate and scheduled public hearings for Aug. 25; staff said the vote opens the budget calendar but does not irrevocably commit the city to a final mill levy.
The Merriam City Council voted 7-0 to notify Johnson County that the city intends to exceed the revenue neutral rate for property taxes and to hold public hearings on the budget, including Aug. 25. "A vote tonight is not a commitment unless you vote not to exceed," Director Borth told the council, explaining that a decision to notify the county begins the public‑notice process but the council may later adopt a lower levy. Staff described the revenue neutral rate provided by the county as 25.855 mills and said staff proposes a preliminary levy of 26.415 mills to meet personnel, benefit and service-level proposals in the draft 2026 budget. Nut graf: Staff presented high-level budget drivers — a 3% cost‑of‑living adjustment, a 2% merit pool, compensation‑study adjustments, an assumed 15% increase in health‑insurance premiums and two proposed new positions (an information-technology specialist and a proposed freedom-of-information/records position). Director Borth told council that if they chose not to notify the county tonight, the city would forfeit the option to exceed the revenue neutral rate later in the process. Council members asked for clarification about the meaning of a vote to "exceed" and about consequences for service levels. A resident public commenter urged the council not to exceed the revenue neutral rate; the commenter said many local taxing jurisdictions remained revenue neutral in 2024 and urged the council to limit tax increases. Council member Hans moved and the council voted to notify the county and to set public hearings; the motion passed 7-0. Staff said more detailed budget books and CIP materials will follow and that the notification starts the statutory calendar for public notice and hearings. Ending: Director Borth said staff will prepare a detailed budget book and that council may adopt a different levy after public hearings and additional analysis; staff recommended notifying the county to preserve the council’s flexibility.
