Alta council adopts tentative 2025–26 budget; staff to hold truth‑in‑taxation hearing in August

The Alta Town Council voted on May 14 to adopt the town’s tentative budget for fiscal year 2025–26, a document staff will refine before the statutory truth‑in‑taxation hearings and the final adoption in August.

Key budget items presented by town staff included a $100,000 increase in property tax revenue (from about $405,000 to $505,000 in the example used during the presentation), a planned, modest use of general‑fund cash‑on‑hand to bridge capital needs, and continued emphasis on long‑term capital planning for facilities and utilities. Staff said the property tax increase the council adopted for the tentative budget was intended primarily to keep up with valuation changes rather than to raise the tax rate.

Staff also called out several other pressures that shaped the budget: market‑level compensation adjustments (the budget includes pay‑range updates and room for performance adjustments), rising vendor/contract costs and larger capital items such as municipal facilities planning, the cross‑tow water line and sewer projects. The budget committee recommended against adding a 1% municipal transient‑room (bed) tax this year; staff estimated such a tax could raise roughly $200,000 if imposed in the future.

Utility rates: tentative budget assumptions include both water and sewer rate increases to support the capital plan. Staff noted a proposed 10% water‑fund increase was under consideration and that sewer increases would be larger in this cycle to “catch up” after a long interval without increases; staff provided examples of monthly impacts for a single‑family equivalent in the presentation.

Reserve policy and use of fund balance: council and staff discussed reserve strategy. The tentative budget proposes using a portion of the general fund reserve (about 10% of the previously target level in committee discussion) to support capital projects in the near term. Council members asked staff to conduct more formal variance and cash‑flow analysis over the summer and to bring a recommended target reserve percentage (and a supporting resolution) back for adoption.

Procedural items: the council adopted the tentative budget by roll call vote and scheduled the required public hearing (truth‑in‑taxation) for Aug. 13 at 6 p.m. in Alta Town Hall; staff will publish required notices and bring the final budget back for adoption at that hearing.

Ending: staff said they will update the tentative numbers to reflect the latest cross‑tow cost estimate and continue work on a longer‑range funding plan (including sinking‑fund options for pipe replacement) and a clearer reserve policy to present this summer.