Fiscal Year 2026-27 Property Tax Increase

At a glance

  • What: Truth-in-Taxation hearing and final adoption of the Fiscal Year 2026-27 tax levy and City budget, including a property tax rate above the certified rate to support City operations.
  • Where it stands: Both ordinances adopted August 11, 2026, 7-0.
  • Status: Resolved. Four residents spoke, all against the increase.

What the Council did

Ordinance 44 of 2026 set the final rate of tax levy for all City funds, including the Library Fund, on real and personal property for Fiscal Year 2026-27. Ordinance 45 of 2026 adopted the final FY 2026-27 City budget, including the property tax increase in the Property Tax Impact Schedule. Because the rate exceeds the certified tax rate, the budget action released the revenue from the increase out of the restricted fund created when the interim budget was adopted. The two items were heard as one public hearing.

Cindy Lou Trishman explained that the final budget needed its own motion for adoption before the meeting adjourned. The minutes do not state the dollar size of the increase or the rate.

Public comment

  • Eric Miller: raised rising property taxes and water utility rates; water bills kept climbing despite lower usage.
  • Susana Arguello: opposed; higher housing costs would hit homeowners and renters already facing higher living expenses.
  • R. Scott Birdsall: opposed; cited the size of the increase, the judgment levy and a lack of clear information for affected taxpayers.
  • Brook Bryn: opposed; cited financial hardship and increased Police Department funding, and pointed to the September 15 public hearing on license plate reader technology (Automatic License Plate Reader Ordinance).

Council remarks

Council Member Wharton acknowledged affordability concerns, pointed to earlier budget discussions and hearings, and said Council Members were available to residents after the meeting. Council Member Puy described rising City operating costs, resident expectations for infrastructure and services, departmental budget reductions and savings found during the budget process, and the challenge of balancing City needs with affordability. Jennifer Bruno opened the hearing and directed the public to information on the proposed budget and tax increase.

Votes

  • Ordinance 44 of 2026 (tax levy): moved by Council Member Dugan, seconded by Council Member Petro; AYE Puy, Petro, Wharton, Napier-Pearce, Carlsen, Dugan, Young. Passed 7-0.
  • Ordinance 45 of 2026 (final budget): moved by Wharton, seconded by Dugan; same seven AYE. Passed 7-0.

Sources

Log

2026-05-05 - LBA, CRA and Council Formal Meeting

Mayor Erin Mendenhall presented the proposed budget with a proposed 12.5% property tax increase (general fund $498.9 million, up 1.57%, after $13.2 million in savings) and stated, as required, that the tentative budget includes a property tax increase (agenda item F-4, condensed with F-3 in the minutes). The Council adopted the tentative budget 7-0 (Resolution 9 of 2026); the public hearing was set for May 19. See Fiscal Year 2026-27 City Budget.

2026-08-11 - City Council Limited Formal Meeting

Hearing held on the tax levy and final budget; four residents commented against the increase; Ordinances 44 and 45 of 2026 adopted 7-0.

2026-07-14 - City Council Formal Meeting

Corrected levy ordinance (Ordinance 42 of 2026) adopted 5-0 to fix a technical error before the June 22 deadline; levy stays 0.003482 per dollar. Consent Agenda set the August 11 hearings on the final budget and the Truth-in-Taxation levy.

2026-06-16 - LBA, CRA and Council Formal Meeting

Interim budget (Ordinance 27) and levy (Ordinance 28) adopted 7-0; Property Tax Impact schedule dated June 16 adopted (Wharton/Petro, 7-0), with increase revenue reserved in a restricted fund until final adoption before September 1. See Fiscal Year 2026-27 City Budget for the levy breakdown.

2026-06-16 - City Council Work Session

Puy noted the property tax impact schedule was available online; straw polls moved Police and Fire items into the property tax proposal (see Fiscal Year 2026-27 City Budget).

2026-06-11 - City Council Work Session

Tentative property tax impact schedule item noted by Puy as posted per state law; Jennifer Bruno said the Council had until June 22, 2026 to set the increase limit. Unresolved budget items that could affect the size of the increase are on Fiscal Year 2026-27 Budget Unresolved Items.

2026-06-09 - City Council Work Session

Jennifer Bruno said new state law requires the Council to name the specific purposes funded by any property tax increase in the Property Tax Impact Schedule, and that new-growth revenue figures would not be final until June 12. Puy noted the schedule was posted as the law requires.

2026-06-02 - LBA, CRA and Council Formal Meeting

Public hearing on the proposed rate above the certified rate (a 12.5 percent impact, $13,500,000 in revenue) supporting Fire, Public Lands, Justice Court, Attorney, Community and Neighborhoods and Sustainability, street lighting, capital projects, fleet maintenance and the Legal Defender Association arrangement. Speakers Leslie Trubetskoy, Jack Wilhite and others raised concerns about rising property taxes, utility costs and affordability. Closed and referred (Young/Wharton; 6-0).

2026-06-02 - City Council Work Session

The Property Tax Impact Schedule was posted as State law requires; Puy noted it was online. Jennifer Bruno told the Council the August 11 Truth in Taxation hearing must be the only meeting that evening. Staff were also preparing figures on the effect of reducing the proposed increase by 1 million dollars.

2026-05-28 - City Council Work Session

Property Tax Impact Schedule posted, no discussion; Non-Departmental budget discussion noted that some Capital Improvement Program funding would be considered through the proposed property tax and Truth in Taxation.

2026-05-21 - City Council Work Session

Property Tax Impact Schedule posted, no discussion. The Fire Department request for 10 positions relies partly on proposed property tax revenue (see Fiscal Year 2026-27 Department Budget Briefings).

2026-05-19 - LBA, CRA and Council Formal Meeting

First public hearing on the proposed rate above the certified rate (12.5 percent impact, 13,500,000 dollars in revenue), heard with the rest of the budget package. Speakers raised higher property taxes, a proposed 20 percent water utility increase and police funding. Puy said Inland Port funding for police is separate from the proposed tax increase. Hearing closed and a second hearing set for June 2, 2026 (Dugan/Carlsen, 6-0). At the work session the same day Puy said the property tax impact schedule is on the agenda because state code requires it (2026-05-19 - City Council Work Session).

2026-05-14 - City Council Work Session

Jennifer Bruno covered the proposed increase in the Council Staff overview: Truth in Taxation requirements, how residents can identify City-related increases, proposed uses (fire, youth and family programming, Justice Court, legal services, Capital Improvement Program projects), and the added burden of utility fee increases and voter-approved bonds. The Property Tax Impact Schedule item was not held.

2026-05-12 - City Council Work Session

Administration overview of the proposed increase and its uses (public safety, community services, infrastructure, capital projects). Bruno explained new State notice and adoption requirements for property tax increases at the informational Property Tax Impact Schedule item.