Cottonwood Heights advances interim budget and a proposed property tax increase, sets aside $3.5M

The Cottonwood Heights City Council on June 16 adopted an interim budget and advanced a proposed property tax levy that staff said would increase budgeted property tax revenue by roughly 42.57 percent, placing $3.5 million into a restricted account until the council adopts a final budget.

City staff presented the property tax impact statement during the business session and said the certified tax rate would be 0.001268; incorporating the additional revenue target would increase budgeted property tax receipts by about $3.5 million. Staff said the estimated monthly impact presented was $214 on an $850,000 home and described departmental reductions that would total roughly $3.5 million if the increase were not adopted. (Presentation by staff.)

Why it matters: The council’s action establishes an interim fiscal plan for fiscal year 2026–27 and begins the formal process required by state law to notify the county auditor and the Utah State Tax Commission of a proposed levy. If the council finalizes the levy later this year, residents will see the tax change reflected on future property tax bills; members of the public at the meeting urged clear, itemized disclosure of planned expenditures tied to the increase.

Public reaction and transparency requests Runar Bowman, speaking during citizen comments, said he was "heartened" by staff transparency but called the increase "still huge, 40% plus," and urged the city to publish itemized spending, identify cuts already made and provide a multi-year forecast so residents can see whether the increase would cover five years or prompt repeat hikes. (Runar Bowman, public commenter.)

Council discussion and vote Council members and staff described steps already taken to reduce costs, including eight staff reductions (about an 8.5% workforce reduction), elimination of the culture division, and cuts to the printed newsletter. The council also noted formation of a citizen budget review committee intended to provide ongoing public scrutiny. After brief discussion the council moved, seconded and adopted Resolution 2026-34 (interim budget), then approved Resolution 2026-35 (property tax impact schedule) and Resolution 2026-36 (proposed tax levy and rate reporting). Recorded votes on the interim budget were: Mayor — yes; Council Member Holton — no; Council Member Highland — yes; Council Member Newell — yes; Council Member Burrell — yes. (Motions and votes recorded in the business session.)

What’s next Staff will report the proposed levy and rate to the Salt Lake County auditor and the Utah State Tax Commission as required by law. The council emphasized that the interim action is not the final vote; the restricted $3.5 million account will remain in place until the council finalizes the fiscal year 2026–27 budget and any adjustments are made. Council members encouraged continued public engagement and review by the citizen budget committee prior to final adoption.

Sources: staff presentation to the council; public comments from the June 16, 2026 Cottonwood Heights business session.