City stormwater staff on May 22 presented a FY26 budget and five‑year capital improvement plan that includes daylighting of Town Creek, Mall Circle Drive drainage improvements and storm drainage work at O4 Park, and warned that the capital reserve balance will decline below a three‑month operating threshold if the current CIP proceeds as planned.

The presenter said FY26 stormwater revenues and expenses balance at about $4,100,000, with operating revenues stable but expenses up about 9 percent from FY25. The five‑year CIP lists about $3,660,000 in FY26 and $3,340,000 in FY27, totaling roughly $9,300,000 through FY29. Staff said the projected capital draw will reduce the reserve balance below the desired three‑month operating target and that the division may need to raise the stormwater fee next year, push projects out, or consider interim borrowing to complete the plan.

Why it matters: stormwater assessments and fees fund flood mitigation, drainage repairs and capital projects that affect neighborhoods, parks and private property; changes to fees or project timing would alter localized flood‑mitigation work.

Stormwater accomplishments cited by staff include code updates to protect stream buffers, routine inspections of more than 100 active construction sites, educational outreach events and partnerships with parks for litter cleanup at Murphree Springs wetlands. Near‑term goals include a drone program to detect illicit discharges, a consultant study for Todd Lake resource management and improved enforcement for stormwater control maintenance.

The council asked for more detail about the proposed Todd Lake study and noted that part of the lake shore is privately owned; staff said they will scope the consultant study and report estimated costs and recommended management approaches. No fee change was adopted at the May 22 meeting; staff warned the council that without additional revenue or project deferrals, reserves will decline and future fee action may be necessary.