Utica Council adopts fiscally restrained FY2027 budget, levies lower millage under Headley rollback

Utica — The Utica City Council on June 9 adopted its fiscal year 2027 budget and related appropriations ordinance and voted to levy property taxes using the Headley rollback fraction, measures city officials said will keep the municipality on a path of fiscal restraint.

Treasurer Mr. Patternoster opened the public hearing and presented the package the council later adopted, saying the proposed general fund included revenues of about $8,538,800, operating expenditures near $7,377,750 and capital outlay of $891,480 for total general-fund expenditures of $8,433,110. He also reviewed other funds including major and local street funds, the library fund and the OPED (post-employment benefits) trust.

The council approved the annual appropriations ordinance that allocates the tax levy across established city funds and then adopted the millage rates for the 2026 tax year: total combined rate 19.1434 mills made up of general operating 16.3105 mills, public safety 1.6306 mills, library 0.8151 mills and a library supplemental 0.3872 mills. The treasurer explained that, compared with a truth-in-taxation calculation, levying under the Headley rollback fraction would produce about $140,000 less revenue than the higher base.

Why it matters: Council members said the budget is designed to be conservative after several years of larger equipment purchases and one-time spending. During the council discussion a member summarized the plan as a tighter, responsible budget that preserves core services while avoiding unsustainable expenditures.

Council also adopted the sewer and water fund budget and new water and sewer rates, explaining that wholesale increases from the Great Lakes Water Authority (water ~5.8%, wastewater ~4.26%) and county wastewater charges required modest increases for customers. For a typical household using 4,000 gallons on a 5/8-inch meter, staff said the combined monthly bill will rise by roughly $2.87 under the new schedule; the ready-to-serve charges and per-thousand-gallon consumption charges were provided in the materials the council approved.

The council voted unanimously on all budget, ordinance and rate items. Treasurer Mr. Patternoster said the package is intended to maintain service levels while limiting new spending. Tax bills will be mailed July 1 following the millage adoption.

What’s next: The council recessed later in the meeting for a closed session to discuss a tax-tribunal settlement; voters and taxpayers will receive official tax bills and the department heads will proceed with implementation of the adopted budgets and rates.