The Manitowoc City Council voted 9–1 to adopt the city’s proposed 2026 budget, approving a $20,274,209 general fund levy that includes $1,469,971 in proposed tax incremental financing.

Alderman Sitkiewicz, chairing the finance committee, summarized the plan as largely a carryover of current services with primary changes in personnel costs. “We value our employees and we have to pay appropriately our employees, and that comes in the form of wages and benefits,” Sitkiewicz said, noting recent labor agreements and benefit changes the budget reflects.

The finance committee report and supporting documents were entered into the record by the clerk and recommended adoption. The committee’s recommended increases identified by Sitkiewicz included a $359,000 increase tied to a police union agreement, $199,000 to address pay compression in protective services, $199,000 attributed to a firefighters’ collective bargaining agreement and a $365,000 increase for the non-represented employee benefit plan, which Sitkiewicz described as roughly a 13% increase.

Alderman Reickelberg opposed the budget, citing assessment-driven tax impacts and a thin projected fund balance. He read assessment figures and estimated that the average homeowner could see an 8.31% increase in taxes—about $275.45 annually, or roughly $23 per month—based on the 2025 reassessment figures the council received. Reickelberg also said the proposed budget increases outstanding general obligation debt by $616,193 and relies on $3.5 million of general fund balance to balance the levy. He highlighted a projected unreserved/un-designated fund balance of $18,805 under the proposed budget and said he could not in good conscience support adoption.

Other council members defended the budget as a reflection of priorities and staffing realities. Alderman Schley urged colleagues to approve the proposal, calling it “the budget we need right now,” and other speakers noted that council-provided attachments and Granicus materials include detailed line-item information for members to review.

After discussion, the mayor called a voice vote. The motion to approve the budget as recommended by the finance committee carried 9–1, with Alderman Reickelberg recorded as voting no. No members of the public spoke during the public hearing.

City staff indicated property tax bills will likely be mailed in mid-December after other taxing entities finalize their figures. The council adjourned following the vote.

What’s next: With the council’s adoption, the budget will be transmitted according to the city’s normal procedures and tax bills will be prepared once external taxing entities finalize their levies.