Salina Commission to Consider 2027 Budget With One-Mill Property Tax Increase

The Salina City Commission will consider adopting the city’s 2027 budget Monday, including a proposed property tax rate that would exceed the revenue-neutral rate and increase the city’s mill levy by one mill.

The commission will hold a public hearing before considering Resolution No. 26-8370, which would authorize the city to exceed the revenue-neutral rate, along with an ordinance adopting the 2027 budget and a resolution approving the city’s updated comprehensive fee schedule.

The city’s revenue-neutral rate for 2027 is 27.526 mills. The proposed budget uses a mill levy of 29.568 mills, one mill higher than the city’s current 28.568-mill rate.

Under the proposed levy, the city expects to collect approximately $16.88 million in property tax revenue, including $13.51 million for the General Fund and $3.37 million for the Bond and Interest Fund.

City staff reports the proposed 2027 operating budget, excluding interfund transfers and cash reserves, totals $160.96 million. The comparable 2026 figure was $157.21 million, an increase of approximately 2.3%.

The city’s total assessed valuation is projected to increase by 4.23% for the 2027 budget year. Staff said real estate valuation accounts for most of that growth, while personal property values are expected to decline by 30.91% following changes in state law affecting property such as boats, trailers, ATVs, UTVs and golf carts.

Sales tax continues to provide approximately 35% of General Fund revenue. The 2027 budget assumes sales tax revenue will be 8% higher than actual 2025 collections. Property taxes make up approximately 23% of General Fund revenue.

The proposed budget maintains 520 authorized full-time, regular and classified part-time positions, the same number authorized for 2026. Salary projections include a 1.5% cost-of-living adjustment and up to a 1.5% merit increase.

Commissioners will also consider several fee changes that would take effect in 2027. Those include increases to some EMS charges, City Clerk fees, sanitation rates and recycling fees. Water and wastewater rates will be considered separately at a later date.

The city’s statutory budget notice lists total proposed 2027 expenditures of approximately $212.68 million before transfers are deducted. After $36.61 million in transfers, the notice shows net expenditures of approximately $176.07 million.

The public hearing and budget votes are scheduled during the Salina City Commission’s regular meeting at 4 p.m. Monday, Sept. 14, at the City-County Building, 300 W. Ash St.