Hearst adopts $88 million FY2026 budget, raises property tax rate; water rates increase 2%

Hearst City Council voted Aug. 12 to adopt the City of Hearst's fiscal 2026 operating budget and to set a property tax rate of 0.611882, and approved a 2% water and wastewater rate increase.

Assistant City Manager Clayton Fulton presented the budget to the council as an executive summary, describing the $88 million operating program and how it aligns with council priorities. "The budget that we'll review tonight is really a culmination of work that started back in January with the citizen survey, that led into the town hall forum, which then led into the council strategic retreat," Fulton said during his presentation.

Council approved ordinance 26-03 (first reading) adopting the FY2026 budget and ordinance 26-04 setting the tax rate at 0.611882. The council also ratified the property tax revenue increase required by state law (ordinance 26-03b). One council member spoke against the tax increase and recorded a no vote on both the budget and the tax rate, saying they…