Council holds multiple budget hearings; staff outlines tentative budgets and proposed property tax increases for fire and public-safety areas

Herriman — During a lengthy meeting that recessed into subsidiary agency sessions, Herriman staff presented tentative two-year budgets for the city and related service areas and opened public hearings on proposed property tax increases for the Herriman City Fire Service Area (HCFSA) and the Herriman City Safety Enforcement Area (HCC).

Staff highlights: Kyle summarized the city’s tentative budget and related capital projects: sales tax provides roughly 40% of general-fund revenues, capital outlay is about 27%, and debt service about 7% in staff’s presentation. The city proposed 5.5 new positions across departments (three in police, plus a parks manager and arborist assistant) and flagged major capital priorities: additional design work for a public works facility (proposed additional $900,000 for design), Rose Crest Road repairs (completion after Jordan Valley Water work), a potential Rose Crest splash pad, remodel of the animal shelter when fire station moves, and a proposed $29 million first phase of water capital projects tied to a future rate study and bonding.

HCFSA: Staff stated the HCFSA tentative budget includes a proposed property tax revenue increase exceeding the certified tax by $205,560 (estimated ad valorem increase 2.4%). The increase is intended to cover the Unified Fire Authority contract increase and to save the remainder for future fire-station construction. Council and finance committee members described the rationale for exiting a regional taxing district earlier to gain local control and the decision to set aside savings for Station 101 replacement and future stations.

HCC (police funding): Staff presented a tentative HCC budget that includes a proposed property tax increase totaling $512,970 (estimated ad valorem increase ~5%). The bulk of that revenue would fund police personnel compensation. Staff outlined three timing options for implementing police compensation tied to the tax increase: (1) apply increases July 1 using restricted transfers and reconcile when the final budget is adopted; (2) defer increases until final budget adoption and backpay employees; (3) implement increases for all employees on Aug. 12. Council indicated a preference for option 1 to avoid backpay administration and to keep general-employee increases on schedule.

Public comment and discussion: Public commenters asked whether Herriman could leave UFA and provide services directly; staff and board members said the city had examined that option previously, had separated from the larger taxing district to gain control and currently finds contracting with UFA cost-effective but will continue to evaluate that choice. No public speakers opposed the budget items during the subsidiary hearings; council closed the hearings and adjourned those sessions.

Fiscal impacts and next steps: Staff warned that some capital work will require using fund balance in FY27 and FY28 (about $2.3M in 27 and $4.9M in 28 for one-time projects noted in the presentation) and that proposed tax increases will be formally considered at the required truth-in-taxation hearings (public hearings scheduled for Aug. 12, 2026). Council moved to temporarily recess for a closed session at the end of the evening.

Quote: "The tentative budget does include an increase in property tax revenue that exceeds the certified tax totaling $205,560," Kyle said regarding the HCFSA; on the HCC he said the proposed increase would generate approximately $512,970.

Outcome: Council opened and closed public hearings on the tentative budgets and directed staff to proceed with required truth-in-taxation notices and final budget hearings in August. Council favored implementing police pay increases July 1 and reconciling after the final tax hearing.