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Council adopts FY2026 tentative budget of $31.45 million; sewer rate increase noted
Summary
The council approved a tentative FY2026 budget totaling $31,449,021. Staff noted proposed utility rate changes including a 10% sewer increase, water rates rising 5% and sanitation 3.5%; a public hearing and final adoption remain scheduled for Aug. 25.
Garden City — The City Council approved a tentative fiscal year 2026 budget Monday with a total for all funds of $31,449,021 and set the budget hearing for final consideration on Aug. 25.
City staff described the action as adoption of a tentative budget, which may be amended at the Aug. 25 hearing but cannot be increased above the total amount now on file. "This is a tentative budget. Amendments to the budget can be made at the August 25 meeting. However, the total budget cannot be raised," the mayor stated while introducing the item.
Utility rates discussed: During council discussion staff confirmed proposed utility rate changes included a 5% water increase, a 3.5% sanitation increase and a 10% increase to sewer rates as the city examines equity across residential and commercial users. "The overall will be a 10% increase" for sewer, staff said.
Council comments: Council members exchanged views about maintaining a sizable fund balance and priorities for capital and staffing. One councilor said they considered using reserves for green belt replacement, salary adjustments and police equipment but supported keeping a large fund balance in light of uncertain municipal revenue trends.
Vote and next steps: The council approved the tentative budget by roll call vote; staff will publish the tentative budget and accept public comment in the Aug. 25 hearing, where adjustments within the total appropriation may be made.
Details: Total tentative budget — $31,449,021; public hearing for final adoption scheduled Aug. 25, 2025.
