Petersburg council holds FY26 budget hearings, keeps real estate tax rate at $1.27 amid debate over casino revenue and public safety

At a May 2025 meeting, the Petersburg City Council held public hearings on the proposed FY2026 operating budget, approved the Petersburg City Public Schools FY2026 spending authority and a $71,863 amendment to the FY25 grants fund, approved a $300,000 draw from the budget stabilization fund to shore up a failing wall behind City Hall, and voted to keep the city's real estate tax rate unchanged at $1.27 per $100 of assessed value. Council deferred final adoption of the full city operating budget to a special meeting scheduled for June 3.

Budget manager Gary Cozier presented the proposed FY2026 budget as a balanced plan across all funds totaling $144,338,153, with a general fund of $106,000,000. Cozier said the proposal includes $3,000,000 to implement a recently completed classification and compensation study, an increase in general fund-supported debt service to about $7.3 million driven by a December 2024 general obligation bond, and a modest overall general fund increase of roughly 10.7% compared with FY25. He described revenue assumptions and line-item details for public safety, social services, schools and transfers to enterprise and…