Danville council adopts FY2026 budget, capital plan and appropriation; finance director reports healthy revenues
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Summary
The Danville City Council unanimously approved the fiscal year 2026 budget, the capital and special projects plan, and the budget appropriation ordinance. Finance Director Michael Atkins told council revenues are on target and the city's rainy day fund should end the year near $47 million.
Danville City Council on Tuesday approved the city's fiscal year 2026 budget, the capital and special projects plan and the related budget appropriation ordinance, after the city's finance director reported revenues and collections tracking close to projections.
Michael Atkins, the city's finance director, told council that general fund revenues through May 31 were at $152 million, or about 92% of the year, and that several revenue categories are running above budget. "Our real estate tax collections are nearly at 100%. We need about $1,500 more dollars," Atkins said. He said sales and meals taxes are expected to exceed budget and that business license receipts are running about $750,000 above projections for the year.
Atkins also summarized the city's fund balance position. "We started the year at $51,000,000. Council appropriated about $7.5 million of that for special projects, which brought us down to $43.5 million," he said, and added the city may add "maybe $3 to $4,000,000" back to the rainy day fund by year-end, bringing it toward $47 million. He noted the minimum fund balance required under the adopted budget for the coming year is $47 million.
Council members moved and seconded three separate formal actions: adoption of the overall budget resolution for the fiscal year ending June 30, 2026; final adoption of the FY2026 capital and special projects plan; and final adoption of the FY2026 budget appropriation ordinance. Each motion passed on roll call.
The finance director said auditors have completed preliminary fieldwork and will return in September to finish the annual audit. He also flagged that bank stock tax revenue will fall modestly short of budget while casino taxes are outperforming expectations.
Ending note: City staff said the next complete financial report will come in August after the city closes books for the fiscal year.
Votes at a glance
- Resolution approving the budgets of the various funds of the City of Danville for the fiscal year ending 06/30/2026 — Motion by Councilman Lee Vogler; second by Vice Mayor Buckner; outcome: approved (roll call recorded).
- Resolution approving the fiscal year 2026 capital and special projects plan (final adoption) — Motion by Vice Mayor Buckner; second by Councilman Saunders; outcome: approved (roll call recorded).
- Ordinance approving the FY2026 budget appropriation (final adoption) — Motion by Vice Mayor Buckner; second by Councilman Vogler; outcome: approved (roll call recorded).
Context: The votes came near the end of the council's regular meeting and were presented as final adoptions after the council's budget work earlier in the year. Atkins said departmental spending remained under budget as of May 31 and that group health claims were "slightly below budget" at that time.
