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Dubuque officials urge state guidance, say budgets will be revised once implementation rules released

Dubuque City Council · August 4, 2026
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Summary

City manager and council members said the city will continue meetings with departments, legal counsel, and state officials, and will update budget assumptions after the Iowa Department of Management issues implementation guidance; staff were asked to provide policy options on trust-and-agency levies and TIF use.

After the CFO’s presentation, Mayor and council members stressed the need for clear, consistent guidance from state legislative and administrative bodies before Dubuque finalizes budget goals. Councilmembers praised Jennifer Larson’s analysis and asked staff to continue meeting with department managers, bond counsel, and legal advisors to prepare for the budget cycle that starts in September and for goal-setting that precedes the March–April budget adoption window.

City manager Michael Van Milligen said the two policy priorities for local consideration are whether the trust-and-agency levy is excluded from the 2% cap and whether TIF and incentive policies should change to preserve general-fund revenue growth. He told councilmembers they will likely need to consider options such as moving benefit costs into an excluded levy (if allowed) or tightening TIF rebates for market-rate projects and reserving incentives for workforce housing. The council did not take any formal votes; members asked staff to return with refined projections and proposed policy options after the Iowa Department of Management provides implementation details.