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Normal presents FY25-26 proposed budget, plans limited cuts and reserve use after sales-tax drop

2136019 · January 21, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Town of Normal staff presented a $211 million multi‑fund budget for fiscal 2025–26, saying a forecasted decline in sales tax revenue will be managed largely through one‑time capital reductions, lower extra pension payments and a modest planned drawdown of reserves rather than cuts to core services.

Town of Normal leaders on the town council’s budget review work session presented a proposed fiscal-year 2025–26 budget that totals about $211,000,000 across all funds while forecasting a moderate decline in sales tax revenue and using one-time measures and reserves to balance the gap.

The proposed budget lists $96,000,000 for the general fund and projects total general fund revenue of about $94,700,000 for 2025–26. City Manager Miss Reese summarized the presentation, saying, "I think it's a very good financial picture and presents a very realistic outlook based on what we know today." Finance staff warned most of the revenue shortfall — about $13.9 million across the five-year outlook — stems from weaker sales tax performance, which accounts for roughly $13.6 million of that decline.

Why it matters: the general fund pays for core services (police, fire, public works and parks) and also transfers money to…

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