Rock Island holds budget workshop; officials outline 2025 totals, hearing schedule as residents press for economic-development answers

Alderwoman Linda Barnes convened a public workshop on the City of Rock Island's 2025 budget, saying the document should "be a reflection of our values and priorities," and invited Finance Director Jessica Sager to walk residents through revenue, spending and the schedule for council hearings.

Sager told the room the city budgeted just under $154,500,000 in revenue across all funds for 2025 and budgeted about $168,500,000 in total expenditures. She said charges for services were the largest revenue source citywide (about 21.6%), with state and local taxes (18.8%) and property taxes (14.4%) following. "For the 2025 budget, total revenue across all funds was just under $154,500,000," Sager said.

City staff emphasized the budget's structure: Rock Island has more than 67 active funds, including governmental, proprietary (enterprise) and fiduciary funds. Sager said the General Fund ' the city's primary operating fund ' was budgeted for roughly $48.9 million in revenue and just under $56.4 million in expenditures for 2025, with personnel costs making up about two-thirds of General Fund spending. Across all funds, personnel was the largest expense category.

Sager illustrated property-tax distribution using a $100,000 home example: roughly 51'¢ of each property-tax dollar goes to the Rock Island School District while Rock Island receives about 27'¢. Staff noted assessed values come from Rock Island County and that the city presents multiple rate/value scenarios for council consideration rather than issuing a single binding staff recommendation.

Officials also reviewed capital and enterprise spending: capital projects in the approved 2025 budget include repairs to the 18th Avenue pump station, Sunset Marina upgrades, vehicle replacements and new financial software, with capital projects totaling just under $24.9 million. Enterprise funds (water, sewer, parks) were budgeted at about $44.3 million in revenue.

On timeline and public input, Sager outlined key dates: a CIP presentation to council Oct. 27, a full budget presentation Nov. 10, a potential Truth in Taxation hearing Nov. 24 if the property-tax levy increases more than 4.99%, a first-reading of the budget ordinance Dec. 8 and a second-reading/adoption Dec. 15. Sager said the 2025 budget brief is posted on the city website and encouraged residents to attend or watch council meetings.

During an extended Q&A, residents pressed officials on alternatives to raising property taxes and why Rock Island appears to lag neighboring cities in attracting businesses. One attendee asked, "What other options do we have to fund our city instead of consistently raising property taxes?" City speakers said factors include different state-level business incentives across the Quad Cities, limited available industrial sites in Rock Island and long-term structural pressures such as rising pension costs. A city official noted the city's fire and police pension payments have grown substantially in recent years, contributing to pressure on property-tax-supported budgets.

Attendees questioned the level of investment in economic development. Residents pointed to the economic-development budget's relatively small share of total spending (cited during the meeting as about 4.44%) and urged either clearer results from existing staff and contracts or more resources targeted at site readiness and retail strategy. Staff and an attendee said the city has used tools such as TIFs (including a River's Edge TIF), enterprise zones and partnerships with regional development organizations, and that an economic development strategic plan is under way.

Several residents raised a high-profile local development: a 10-acre parcel proposed for a dispensary. Officials described the regulatory steps the developer and city completed, including a historic-resources review with the State Historic Preservation Office (SHPO), eagle and turtle studies, wetlands delineation and coordination with the U.S. Army Corps of Engineers. City speakers said Corps sign-off is the remaining major regulatory step; if the developer receives that clearance and begins construction promptly, officials estimated about a one-year timeline to opening and the start of revenue flow.

Questions about the city's recent year-to-year changes prompted staff to explain American Rescue Plan Act (ARPA) accounting rules: ARPA revenue recognition and spending can cause visible year-to-year spikes in grant and services categories. Sager and staff said the city must obligate ARPA funds by the end of the next fiscal year to avoid returning them and that departments across the city pursue grants (police, fire, parks, community development). When asked for detail on the catchall "other" expenditure category, staff said it includes grants, subcontracts, contributions and similar items and pledged to post a line-item breakdown online.

An emailed response from the city's IT director, shared at the meeting, said the city pays about $68,009.55 annually for Google Workspace (470 active users and 10 archives) under a discounted three-year agreement; the city cited the need for advanced e-discovery capabilities to support legal and public-records obligations.

On streets and maintenance, public-works officials described how project choices are made (traffic counts, pavement condition) and said a recently adopted street fee will enable roughly $1.5 million of additional road work annually. Staff explained that crack sealing and pothole patching are lower-cost maintenance strategies that extend pavement life and that deferred maintenance eventually requires far costlier reconstruction.

Alderwoman Barnes and Mayor Harris closed the forum by thanking staff and attendees and encouraging civic involvement. Barnes said the city would follow up with more workshops focused on specific areas such as the General Fund and promised to post answers to questions the meeting did not resolve.

What happens next: Council will receive the CIP presentation and the full budget on the dates provided; residents who want to weigh in on property taxes or specific line items should plan to attend or view the Oct. 27 (CIP) and Nov. 10 (full budget) council presentations and the Nov. 24 Truth in Taxation hearing if it is scheduled.