District warns of multi-year sanitation budget shortfalls tied to State Enrolled Act 1

District Administrator Rick Conrad told the Board of Sanitary Commissioners on July 23 that the district expects its sanitation department budget to be about 4% lower in 2026 than in 2025 because of State Enrolled Act 1, and that similar shortfalls are expected to increase over the next three years.

"We expect our budget for the Sanitation Department will be about 4% less in 2026 than it was in 2025," Conrad said. He added the district expects to absorb the 2026 reduction but will need to consider adjustments going forward: "over the next 3 years those, the shortfalls are going to continue to increase and we are gonna have to look at, adjusting how we, fund that department."

Conrad also highlighted that the district's in-house construction teams are saving the district roughly half the cost of comparable outsourced work on several projects, an efficiency the district expects to leverage as it plans for future budget pressures. He gave routine operational updates on lane restrictions related to levee tieback construction near East Jackson by the White River Bridge and other local street restrictions tied to stormwater and manhole work.

No board action was taken on budgeting at this meeting; Conrad said staff will continue to plan for the expected reductions and bring recommendations as needed.