Livingston manager unveils FY2026 preliminary budget; public hearing set and water/sewer rate adjustments proposed

City Manager Grant Gager on June 17 presented the City Commission with a recommended fiscal 2026 budget totaling $31,775,333 and scheduled a public hearing and final‑adoption vote for July 15, 2025.

Gager said staff designed the balanced budget to fund specific operational improvements while keeping utility-rate increases limited. "We are recommending no increase in solid waste rates for fiscal 2026," Gager said, and proposed expanding food‑waste composting through a local partner with a drop‑off model at the public works site.

Major recommended items in the general and enterprise funds included: - Four full‑time firefighter/EMTs (one added to each shift), funded by reallocating some reserve funding to full‑time posts to reduce overtime and improve reliability for countywide EMS response. - Creation of an operations manager in Public Works to improve coordination across streets, water and sewer projects. - Implementation of an online building and planning permitting system negotiated at no cost to the city. - Continued investments in parks and the soon‑to‑be‑final parks master plan, with funding for Veterans Memorial work and other park connectivity projects. - Continued planning funds for a grade‑separated rail crossing and funding to advance the Fifth Street crossing to design and construction planning.

Gager framed FY26 as a year to move from planning to construction on several capital projects and continued growth‑policy implementation. "On an operating basis, our operating revenues do exceed operating expenditures, and the budget is balanced," he said. Finance Director Paige Federerhoff was credited for assembling the document.

Utility rate proposals accompanying the budget are: a 4.22% increase recommended for both water and sewer rates, intended to reflect observed inflationary pressures and to support capital work in each system. Gager said the average monthly residential impact for water customers would be roughly $0.84 to $2.28 depending on use tier, while sewer customers would face an estimated $0.97 to $4.77 monthly increase. He said about 86% of water customers are in the lowest usage tier and the recommended adjustments would add modest amounts to the average bill.

Gager said staff will return with additional analysis if the commission asks to revisit the seasonality method used to estimate sewer bills. The city is also pursuing a stormwater utility evaluation and continues to work with federal and state partners on floodplain mapping and the Silver Jackets analysis.

The commission voted to set the budget hearing for July 15; the preliminary budget resolution (No. 5161) was approved. At the same meeting the commission approved resolutions to publish intent to adjust water (No. 5162) and wastewater (No. 5163) rates, each to be considered at the same July 15 public hearing.

Gager told the commission he expects to return with more detailed cost and staffing estimates for proposed programs such as STR permitting if the commission wants to pursue those policy changes. Commissioners asked staff to provide the fiscal impact of STR regulation and the enforcement resources required before they adopt related land‑use policies.

Public comment during the budget item included support and questions from local residents and representatives of HRDC about housing tools and annexation impacts. The commission approved the preliminary budget and directed staff to publish the hearing notice and supporting materials online.

Votes and next steps: The commission set a July 15 public hearing for final budget adoption and utility‑rate ordinances; staff will publish the full budget document and bring back the water and sewer rate ordinances for final readings after the hearing.