El Dorado to notify county of intent to exceed revenue-neutral rate for 2026 budget

The El Dorado City Commission authorized the city clerk on July 7 to notify the Butler County clerk of the city’s intent to exceed the revenue-neutral rate for the proposed 2026 budget. The notification preserves the commission’s ability to consider a higher mill levy during the formal budget process.

Staff said the city’s current cardinal levy is 58.417 mills and the proposed notice would allow consideration of a 61.0-mill levy, which staff estimated would produce an anticipated revenue of $7,709,546. Staff presented a list of cost pressures driving the potential increase, including a projected 10% rise in electric and gas costs, a 5% rise in insurance, higher court and prisoner-care costs, salary increases for judge, prosecutor and probation officer positions to meet contract obligations, a proposed salary-study impact of about $500,000 if fully adopted, vehicle and building equipment replacement needs totaling roughly $1 million, and other department supply increases.

Staff said the notice is procedural (it does not set a final levy) and is intended to provide time for detailed budget discussions and review over the next 4–6 weeks; the city expects to publish the final proposed budget in late August.

The motion to authorize notice was made, seconded and approved; commissioners expressed appreciation for staff’s work on the budget materials and the process for forthcoming discussions.