Bellevue unveils preliminary $195 million 2025'26 budget; bonds planned for capital including $30M water park allocation

Rich Severson, Bellevue's finance director and treasurer, and Assistant Finance Director Jason Tortoff presented the city's preliminary 2025'26 budget to the City Council on Aug. 19, showing revenues and planned expenditures roughly in balance and identifying bond proceeds as the primary means to fund capital work, including the Bellevue Bay Waterpark.

Severson told the council the city expects to end the fiscal year with about $54 million in cash and projects $195 million in revenues against a $195.118 million expenditure budget for 2025'26. He said the city's S&P credit rating remains at AA+ and that careful departmental budgeting preserved cash reserves.

Capital plan and funding

Staff presented approximately $94 million in planned capital expenditures. The largest single item identified in the preliminary capital plan was $30 million for the Bellevue Bay Waterpark. Other major items included roughly $26 million in infrastructure improvements tied to the entertainment district, about $19 million in street projects, and about $9 million in wastewater lift-station and sewer improvements.

Severson and Tortoff said bond proceeds will fund most capital spending: staff showed that approximately 79% of the capital plan would be financed with bonds, roughly 13% from general-fund cash and the remainder from federal and state grants and cost-sharing programs (NDOT, FEMA, CDBG and similar sources were cited as potential partners).

Property taxes and statutory context

Staff noted changes discussed in the Legislature (identified in the presentation as LB34) and reviewed the 1996 statutory levy limit calculation that sets a 0.45 levy cap for non-bond authority. Severson said the city's preliminary calculations show a roughly 3.3% increase in the tax ask per the new legislative calculation, and the council set a preliminary tax request figure for publication and scheduled a joint public hearing Sept. 18 at Bellevue University and a second-reading/public hearing on Sept. 2 in council chambers.

Public comment and council response

Council members asked clarifying questions about the composition of the revenue forecast, the relative share of school and other taxing authorities on a typical tax bill, and the degree to which the entertainment district and other projects would relieve property-tax burdens over time. Assistant Finance Director Jason Tortoff reviewed general-fund and department-level allocations, including a statement that 51% of general-fund spending in the presentation was associated with the Bellevue Bay Waterpark in the current plan and that public works and public safety remain major general-fund obligations.

Next steps

Ordinance 4,192 (the annual appropriations bill) was read for first reading and scheduled for second reading and a public hearing on Sept. 2. Staff will post detailed budget documents on the city website and return to council with the formal public-record hearing and second reading required by statute.

Sources and attribution

The figures and quotations in this article come from the Aug. 19 budget presentation by Rich Severson and Jason Tortoff at the Bellevue City Council meeting.