Mayor previews 2026 budget; proposed pay raises, extra payroll period total about $3.4 million

The Mayor presented an initial draft of the City of Lancaster's proposed 2026 budget, flagging several payroll changes that he said account for roughly $3.4 million in increased costs. The package includes a proposed 5% pay increase for sworn police and fire employees and a 2.5% increase for management and non‑union staff, and the Mayor noted there will be an extra pay period in 2026 that increases personnel costs.

Why it matters: those elements together represent the largest single-year labor cost change noted in the committee's discussion. According to the Mayor, department heads have been consulted and staff are combing through department budgets; he said a revised version of the 2026 budget is expected at the next one or two meetings of the Finance Committee.

Auditor procedure: Auditor Nettles told the committee the County Budget Commission has supplied the estimated real estate tax collections for the 2025 tax year (collected in 2026), which the council must adopt; Nettles requested suspension of the usual reading rules so the council can adopt the Commission's determinations before the statutory deadline. The minutes do not record the council's vote on that suspension request.

Other pay-related items on the agenda: committee members noted a forthcoming Pay Ordinance for City Council compensation for 2026–2027 and SSD Woody told the committee to expect 2026 pay ordinances to appear at the next council meeting. The minutes do not specify the dollar amounts in the Council pay ordinance or any final adoption actions.

Next steps: committee members can expect a revised budget proposal and related pay ordinances to return for further review at upcoming meetings.