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Pratt City Commission files notice of intent to exceed revenue-neutral rate ahead of budget hearings
Summary
City officials voted to notify the county that Pratt intends to exceed its revenue-neutral rate and schedule a Sept. 2 budget hearing, a step staff said preserves about $150,000 in purchasing power tied to current valuations while the final mill levy and budget are decided later.
The Pratt City Commission voted to file a notice of intent to exceed the revenue-neutral rate and set a budget hearing for Sept. 2, 2025. Mayor (speaker 2) put the motion after staff explained the procedural deadline to notify the county by July 20.
City manager (speaker 4) and finance director Tara Cistas (speaker 15) told commissioners the notice does not set the final mill levy; rather, it preserves the option to keep the levy flat while capturing a small revenue increase tied to this year's valuations. "Based on the valuations we have to date to do budget work, it's about a $150,000 right under, to hold the mill levy flat," Cistas said.
Staff said the extra revenue would help cover inflationary costs and planned capital projects, including street work and required cost-matching for state-funded grants. The city manager described several upcoming projects that would benefit from the additional capacity, including connecting-link highway work and local street projects that will require cost-sharing with KDOT.
Commissioners debated the principle briefly and several supported filing the notice to avoid gradually losing purchasing power over future years. "If we don't do that, the baseline becomes what we had last year," one commissioner said, arguing the city would forfeit recurring revenue increases tied to inflation.
By voice vote, the commission approved the notice of intent to exceed the revenue-neutral rate and directed staff to proceed with the required public-notice schedule leading to the Sept. 2 budget hearing. Staff emphasized the final budget and mill-levy decision will be set at a later meeting and that the notice is a procedural step rather than a final tax increase.
