Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Budget topic
No spam. Unsubscribe anytime.
Worcester council adopts 2027 tax budget; millage unchanged, capital and debt plans outlined
Summary
After a public hearing, Worcester City Council adopted the 2027 tax budget, keeping inside millage at 4.2 mills and presenting roughly $15.3 million in capital improvements and a debt service plan that shows about $48 million outstanding heading into 2027.
Worcester City Council on Monday adopted its fiscal year 2027 tax budget after a public hearing during which the city’s budget presenter reviewed revenue, spending and capital priorities.
The council kept the city’s inside millage unchanged at 4.2 mills. The presenter said general‑fund revenues are forecast to increase about 2.6% over the 2026 budget and that the tax budget documents aggregate capital improvements of about $15,300,000 for 2027. The debt service schedule in the packet shows roughly $48 million in outstanding principal and about $5 million due in principal plus interest in 2027.
Why it matters: The tax budget sets the parameters the county budget commission will review as the city prepares its permanent appropriations; the presentation framed how capital needs, pensions and expected revenues will affect near‑term planning.
During the hearing, staff noted two favorable loan outcomes tied to water projects: a 20‑year ultraviolet disinfection loan of about $1.6 million at a below‑market rate, and a larger loan package for a well project that included a $100,000 forgiven loan from the Ohio Water Development Authority. The presenter said proceeds from recent PFAS settlements will help service debt tied to those projects.
Councilmembers asked for clarity on pension contribution rates, and staff said the statutory contribution rates are roughly 19.5% for police and about 24% for fire; those employer contributions are reflected in the tax budget. Members also pressed on fluctuations in miscellaneous revenue categories such as interest income and a small cigarette tax line that shows large percentage swings year to year.
The council moved to suspend the rules and adopt Resolution 2026‑31, which authorizes the annual tax budget for the fiscal year beginning Jan. 1, 2027; roll call recorded unanimous assent from members present. The resolution will be filed with the appropriate county offices as part of the budget process.
Next steps: The tax budget now proceeds to the county budget commission for review; the city will present a more detailed permanent budget during the regular budget process later this year.
