South Salt Lake presents tentative FY26 budget of $135.4 million; creates transportation infrastructure fund

Crystal (budget presenter; title not specified in the transcript) presented the City of South Salt Lake’s tentative fiscal year 2025–26 budget during the May 14 work meeting, saying the draft totals $135,418,997 and will return to the council for final action before the statutory deadline in June.

Crystal said the budget is built from continuing and one-time revenues and highlighted several major areas of spending. Major fund and program highlights she cited include:

- Public safety: A police budget of about $13,900,000 that includes $230,000 to replace protective equipment, $100,000 for mental health counseling for officers, and $102,000 for officer and staff training. The fire budget is about $10,300,000 and includes $50,000 for protective equipment replacement, $125,000 to maintain apparatus, $30,000 for mental health counseling, and $26,000 for training. The draft includes a 3% cost-of-living adjustment and 3% merit increases for administrative personnel; sworn public safety employees receive a 4% merit increase.

- Utilities and capital: The water utility budget is $11,300,000 and includes $4,500,000 to build the Price Avenue well; Crystal said $2,000,000 has already been expended and the remaining amounts are covered by a low-interest loan from the Department of Natural Resources. The sewer utility is budgeted at $5,900,000 and includes $600,000 for pipe lining and a $2 sewer-rate increase tied to a multi-year plan to pay for federally mandated processing improvements at the Central Valley Waste Reclamation Facility. The solid waste fund is budgeted at $785,000 with a rate increase of 29 cents tied to annual ACE disposal rate adjustments.

- Transportation infrastructure fund: The city will create a new transportation infrastructure fund to consolidate restricted road-related revenues and better track projects. Crystal said the fund is projected to receive just over $5,000,000 in revenues (including $2.4M in Class C road funds and interest, $1.6M in county option highway tax, and $836,000 from a new county option transportation sales tax) and that the budget will transfer $1.5M from the general fund to cover operating expenses not covered by restricted funding. She said the city will move previously restricted fund balances into the new fund: $6,500,000 from Class C funds and $6,300,000 from the county option highway tax balance. The transportation fund’s budget was presented at $19,000,000 and includes $5,400,000 to finish a Seventh West rebuild in partnership with UDOT, $1.5M for street lighting upgrades, and $4.3M for road projects on Maxwell Lane, Gregson Avenue, Robert Avenue and other streets. Crystal said a $218,000 grant will offset part of the Maxwell Lane work.

- Affordable housing and RDA: Crystal said the RDA has committed $1,000,000 to launch an affordable housing program and the city received a $450,000 Community Development Block Grant (CDBG) for the same program. She noted these funds are part of a broader package that includes the RDA bond discussion (presented earlier in the meeting).

- Capital projects and Public Works Campus: Crystal said the Public Works Campus is scheduled to break ground June 26 with construction starting in late July and that the coming-year projected cost for the campus is $21,000,000 (covering phase 1 and about 20% of phase 2). She also said the city will finish the Life on State project this year and has a $2,000,000 grant to offset part of that cost.

- Staffing and organization: The tentative budget includes four new positions (executive director for the Arts Council, IT director, deputy director for neighborhoods, and an IT specialist for police), an IT department separated out of administration, renaming of certain funds (leased equipment debt service fund to debt service fund; wastewater utility to sanitary sewer fund) and authorization to budget for the purchase of one fire apparatus and one ambulance.

Crystal emphasized the difference between continuing revenues (about $55,000,000 budgeted) and one-time revenues (about $62,000,000, which include grants, bond proceeds and permit-related revenues) and said city staff will return with more detail. She asked councilmembers to submit in-depth questions to staff by May 19 at 5 p.m. so departments can prepare answers.

No final vote or adoption occurred at the work meeting; the presentation was strictly the tentative budget review. Sharla Bynum, the meeting facilitator, reminded the public that this is the first draft and that the council has until June to adopt the final budget.