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At a glance: Philomath council votes on budget, lease, transit amendment, alley vacation and union contract
Summary
On June 22 the Philomath City Council adopted the FY 2026–27 budget (6–1), approved a short‑term lease amendment with the Philomath Frolic & Rodeo (one recusal), extended the Corvallis transit contract, passed Ordinance 894 (alley vacation, 6–1), ratified an AFSCME contract, and adopted pay schedules and COLA.
PHILOMATH, Ore. — At its June 22 meeting the Philomath City Council acted on a slate of routine and time‑sensitive items. Key votes and brief descriptions follow.
Votes at a glance
- Resolution 26‑16 — Supplemental budget (approved unanimously): Council approved adjustments to the FY 2025–26 supplemental budget, including SDC beginning balance updates tied to the North 11th/12th Street project and a net general‑fund effect documented by staff.
- Resolution 26‑17 — 2026–27 tax rate (approved unanimously): Council adopted the proposed ad valorem tax rate (5.3005 per $1,000 assessed value) as recommended by the Budget Review Committee.
- Resolution 26‑18 — State shared revenues (approved unanimously): Council declared the city’s election to receive state shared revenues pursuant to ORS 221.770; staff projected roughly $148,000 for the general fund (about $10,000 below last year).
- Resolution 26‑19 — FY 2026–27 budget (approved 6–1): After lengthy deliberation the council adopted the city budget and appropriations. Council debated a proposed monthly city services/public‑safety fee assumed in the budget; a motion to raise the fee to $6 failed 4–3. Council directed staff to draft a $5 fee ordinance with low‑income exemption options for the July meeting.
- Lease amendment — Philomath Frolic & Rodeo (directed execution; passed 6 ayes, 1 recusal): Council directed the city manager to execute a time‑sensitive amendment to the 2018 lease to clean up ownership language and update indemnification and insurance to current standards; one councilor recused for a declared conflict of interest.
- Transit contract Amendment No. 2 — Corvallis Transit (approved unanimously): Amendment preserves service and makes minor edits (accident notification timing, removal of unused fare boxes) while staff studies ridership patterns and cost allocation for a future renegotiation.
- Ordinance 894 — Ramsey Alley vacation (passed 6–1): The council adopted second reading of the alley‑vacation ordinance (vacating a 13.67‑foot alley between Lots 55 and 56, Block 12) on roll call; Mayor McMoran voted no.
- Resolution 26‑20 — Ratify AFSCME Local 3543 contract (approved): Council ratified the collective bargaining agreement for public‑works employees (2.8% increase this year and 3.3% in the following period), with minor language changes and an added half‑day holiday.
- Resolution 26‑21 — Nonrepresented/management pay schedules and COLA (approved unanimously): Council adopted a 2.8% cost‑of‑living adjustment effective July 1 and adjusted pay grades (sergeants increased by 5% in grade as noted by staff).
Context and notable comments
Chelsea, the staff member who presented the labor and pay items, summarized contract and pay‑grade work and the city’s compensation practices for comparators. “We have updated some incentive fees to be more consistent with the market,” she said while reviewing the AFSCME successor agreement.
City Manager Chris and councilors also discussed the logistics of fee implementation (per‑unit charge for multifamily units, potential emergency clause to accelerate start date, and the small number of low‑income households affected by full waivers). Staff estimated about 1,700 utility customers and roughly 50 currently enrolled in the utility low‑income program; the fiscal effects of modest variations in fee structure were discussed on the record.
What to watch next
- Fee ordinance: Staff will return with ordinance language on the fee for council consideration in July; the council may include an emergency clause and a low‑income reduction or waiver.
- Transit cost allocation: Staff will report back on ridership and cost allocation with Corvallis Transit by year end.
- Lease follow‑up: Staff will finalize small remaining language items in the Frolic lease and return executed documents to the council.
Vote details and records for several items (including roll‑call votes on Ordinance 894) are recorded in the council minutes and the official packet.
