Santaquin Council holds budget public hearing; tentative tax hike and staff pay adjustments remain under consideration

The Santaquin City Council opened a public hearing Tuesday to review its tentative fiscal year 2025–26 budget, which is “just under $13,000,000,” and discussed a potential property tax increase that city staff estimates would raise about $136,000 total — roughly $2.17 per month for the average Santaquin home.

The hearing matters because the proposed tax revenue is intended to fund public safety and employee costs the city says it cannot otherwise absorb. Mayor and council members described the increase as intended to fund roughly a half-time police officer and a half-time firefighter and to help cover rising personnel and operating costs.

City staff noted the budget package also includes a 4.6% cost-of-living adjustment (COLA) for all employees starting Oct. 1, 2025, a possible merit pool up to 1.5% for staff, and a market-adjustment allowance of up to 4% for four positions identified by a recent salary survey. Norm (staff member) read the state requirement — Senate Bill 91 — that mandates a public hearing before adopting any final budget that contains compensation increases for “executive municipal officers,” and clarified that the draft budget treats executive officers the same as other employees for COLA, merit and market adjustments.

Council members and residents questioned the city's spending priorities and vehicle purchasing, and raised infrastructure and safety concerns. Resident Brad Greenholm said rising taxes and fees have become burdensome and sought reassurance that funds are “sacred” and spent with “total integrity.” Resident Lon Hendershot and others urged the council to address pedestrian safety on Center Street and 200 North, saying the stretch has become heavily traveled and is hazardous to children walking to nearby Orchard Cove/Apple Valley. Council members responded that sidewalk work and traffic-calming measures are being considered but entail additional costs and stormwater impacts.

The hearing did not result in a final budget vote. Mayor and staff said the council will hold a final public hearing and consider adoption of the final budget — and any tax action — on Aug. 7. Until then the measures discussed remain tentative; staff indicated the city was still awaiting final county and state numbers used to set rates.

Discussion items included how much of the budget is covered by local property taxes: staff said property taxes from homes and businesses account for about $1,944,560 — roughly 18% of the total tentative budget — underscoring that most municipal revenue derives from other sources. Council members emphasized the goal of keeping employee pay competitive to avoid losing staff to neighboring jurisdictions.

The council opened and then closed the hearing after public comments; no formal vote on the tax increase or on final budget adoption occurred at the meeting. The council also held the separate, statutorily required public hearing on potential compensation adjustments that apply to executive municipal officers under SB 91.