Perry City RDA accepts receipt of tentative FY2025-26 budget; public hearing set for May 22

Perry City Redevelopment Agency board members on May 8 voted unanimously to accept receipt of the agency’s tentative fiscal year 2025-26 budget and set a public hearing for May 22 on the proposal.

RDA staff told the board the agency expects to receive $49,001.44 in property tax in the current year and $49,002.47 in fiscal 2026. Staff said the RDA received $180,005.55 in tax increment this year and that sales tax collected in the district is being applied to repayment of a developer-related debt. “We received a hundred and $80,005.55,” the staff presentation said. Staff also identified an annual administration fee of $3,000 for the community development area to cover reporting and budget preparation.

The presentation said total revenues for fiscal 2026, including beginning fund balance, were $489,584 (as presented). Staff recommended returning the remainder of collected increment to Perry City to help repay the debt the city advanced on behalf of a developer who defaulted. A board member asked how much remains to be repaid; staff said it had been reduced since the city adopted an interlocal agreement to apply sales tax toward repayment and that staff would provide the outstanding payoff amount at the next work session. “I’ll get that number for you and bring it back,” staff said.

Board members also questioned why the RDA carried a roughly $200,000 fund balance. Staff explained some funds remained because budgeted transfers were not updated and said the budget would be adjusted to transfer those monies back to the city to accelerate repayment. The staff presentation noted that the rest of the increment collected has been or will be returned to the city to finish repaying the outstanding obligation.

A board member moved to accept receipt of the tentative FY2025-26 budget for the Perry City Redevelopment Agency; another board member seconded. The roll-call vote recorded “yes” from Board member Young, Board member Walker, Board member Osler, Board member Wright and Board member Tueller; the motion carried unanimously.

A public hearing on the tentative RDA budget is scheduled for May 22; the board is slated to take final action on the budget in June. Staff said it will provide an updated payoff amount and the adjusted budget reflecting the transfer of the fund balance at a future work session.