Waterville City Council to hold public hearing on proposed $62 million budget

WATERVILLE — City residents will have the opportunity Tuesday to ask questions and air concerns about the proposed $62 million budget for 2024-25 that combines spending plans for municipal, school and county operations.

Waterville City Manager Bryan Kaenrath Morning Sentinel file

City Manager Bryan Kaenrath said Monday the proposed budget numbers are very much in flux and could change as further reductions are made and the city’s revaluation is factored into the budget.

The council is likely take a first vote on the proposal June 4 and final vote June 18.

The municipal, school and county budgets now total $62 million, including $28.4 million for the municipal budget, $32.3 million for schools and $1.35 million for the county.

The City Council will hold the public hearing at 6 p.m. at the City Hall Annex at 46 Front St. and a regular council meeting will follow.

Under the current proposal, there would be a 1.3% increase in the city budget, 4.5% increase in the school budget and a 30.4% increase in the county budget, according to Kaenrath.

“This is the property tax levy — what people will see as an increase in their tax bills,” he said.

Kaenrath said the overall budget increase is about 4.3%, before further reductions are made to the budget and expenses, revenues and the revaluation are factored in.

The city will not know exactly how the current tax rate of $19.90 per $1,000 in assessed value will change until late July or early August, Kaenrath said.

Waterville has received word of a revision in state revenue sharing showing the city is to receive another $450,000, which Kaenrath said will help the budget.

Calling the proposal a fairly reasonable budget, Kaenrath said inflation across the board has increased costs, including fuel, vehicle parts and other maintenance needs. The biggest cost is in personnel, and increases are built into labor contracts. The cost-of-living increase for nonunion employees is 3%, which is less than increases in previous years.

Kaenrath attended all of the Kennebec County Budget Committee meetings and watched the percentage of increase be whittled down from 42% to about 31%, he said. A $400,000 increase is still a large piece for Waterville officials to work into the budget, he said.

In other matters Tuesday, the City Council is expected to consider:

• Taking a final vote to adopt an historic preservation ordinance designed to help protect historic, architectural and culturally significant areas, landmarks and sites in Waterville and provide financial and educational resources for restoration work.

• Awarding contracts for recreation projects funded in a 2022 recreation bond.

• Referring to the Planning Board for public hearing and recommendation a request to rezone part of 37 Armory Road. The change is needed so appropriate setback requirements would be in place for a proposed expansion of the former automobile repair shop building.