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Fayetteville aldermen adopt FY26 annual budget, pay scale and several fiscal ordinances
Summary
The board approved the FY26 annual budget and tax rate, adopted a new FY26 pay scale, and approved related budget amendments, equipment disposals and a blanket paving contract as part of routine fiscal business.
The Board of Mayor and Aldermen approved the FY26 annual budget and tax rate (ordinance 2025-16) and adopted the FY26 pay scale at the city's monthly meeting. The actions were presented as part of the city's annual fiscal process and carried by motion of aldermen on the floor.
In the same meeting the board approved several related fiscal items: budget amendments for the city and Fayetteville City Schools (including school capital and federal budget amendments), a payment of $1,230.06 on an invoice from Bridal and Associates for the Fayetteville City School system, an amendment cleaning up finances at fiscal year end (which included the public library HVAC item), and the sale of surplus public-works equipment (gooseneck trailer, paving machine, 1979 water truck).
Public works also received approval to award a blanket street-paving bid to Lincoln Paving; the contract was presented as a single-bidder blanket agreement effective July 2025 through June 30, 2026 to streamline future public-works projects. The board also approved ordinance 2025-15 to change restoration requirements for street cuts, allowing contractors to use flowable-fill material in some trench restorations rather than full concrete replacement.
Financial details and department notes recorded in the meeting included an IT line-item transfer to fund virus-protection software, May local-option sales tax receipts of $321,879 (a 2.7% decrease year over year), and state-share sales tax receipts of $78,156 (a 3.4% increase). The finance director said the state will change its distribution of local-option sales and occupancy taxes effective in July, which is expected to increase city receipts.
Discussion/decisions: The FY26 budget ordinance (2025-16) and pay-scale ordinance were approved by motion and recorded as carried. The paving award (single bidder) and equipment disposals were approved. Ordinance 2025-13 (amending the municipal court cost allocation for training) was also approved after a motion; the board adopted the training allocation change described by the finance director.
Ending: The board completed its advertised new-business items and moved to appointments (airport authority and industrial development board) before adjourning.
