Norwich council unanimously adopts FY2026-27 budget, lowers mill rate and fully funds schools

The Norwich City Council on June 1 adopted the city’s FY2026-27 budget, the related appropriations ordinance and tax-levy ordinances in a unanimous roll call vote, council records show.

Council set the general fund mill rate at 34.15 mills, the town consolidation district rate at 0.29 mills, the city consolidation district at 5.23 mills and maintained the motor-vehicle cap at 32.46 mills. Staff reported net decreases from the prior year: a 0.36-mill (about 1.04 percent) reduction in the general fund rate, a 0.01-mill (3.33 percent) drop in the town consolidation district and a 0.73-mill (12.25 percent) reduction in the city consolidation district.

The council approved a series of linked motions — amendments to revenue estimates and fund reallocations — that the mayor and council members said were enabled in part by a one-time state education assistance grant and other state and federal aid. Mayor Singh said the city’s budget ‘‘fully fund[s] school’’ operations for the first time in his tenure while providing tax relief and boosting economic development resources.

Council members emphasized fiscal caution even as they praised the package. President Prom Deluchia and other members thanked the ad hoc board of education committee and the city’s legislative delegation for securing supplemental state funds that allowed some reallocation. Council approved three separate budget amendment resolutions before adopting the full budget and appropriations ordinance; each measure passed on unanimous roll call votes.

The adopted budget also includes a newly designated economic development contingency account discussed during the meeting, described by council members as a tool to partner with private developers and support downtown revitalization. Council mentioned $330,000 as the approximate size of that contingency during discussion.

Mayor Singh highlighted several other fiscal details during remarks recorded at the meeting: about $13 million in state and federal aid for specific projects, $10.3 million identified from the state budget, and an unassigned fund balance around 14.5 percent (approximately $22.3 million). The mayor cautioned that state reimbursement for voter-approved school construction is expected at roughly 80 percent, while acknowledging that increased capital spending will raise annual debt service costs.

Council members completed the statutory steps the same night: adopting the budget, passing the appropriations ordinance and setting the tax levy. Each roll call listed Alderman Nash, Alderwoman Hayes, Alderman Kabaya, Alderwoman Zucardi, Alderman Nestrom, President Prom Deluchia and Mayor Singh voting "yes." The measures passed by a 7-0 vote.

The council said the adjustments to school funding and other allocations referenced during debate are captured in the budget and related ordinances as adopted. The council also scheduled a public hearing earlier in the process on the Neighborhood Assistance Act applications that were referenced in the manager’s report.

The council adjourned following passage of the budget and remaining agenda items.