HomeMunicipalRochester City Council Adopts FY26 Budget $931K Below Tax Cap; First-Issue Tax...

Rochester City Council Adopts FY26 Budget $931K Below Tax Cap; First-Issue Tax Bills Expected June 16

On Tuesday, June 3, Rochester City Council adopted the FY26 operating budgets for the City, County, School District, Enterprise Funds, and Special Revenue Funds. The City, County, and School District operating budgets are subject to an annual tax cap allowance.

The City Manager’s originally proposed operating budgets for the City, County, and School  District were $337,280 below the tax cap allowance. The City Council made additional reductions, resulting in adopted FY26 budgets that are $931,000 below the tax cap.

This marks the fifth consecutive year that City Council has adopted an annual operating budget below the tax cap allowance. The cumulative total of budgets adopted below the tax cap over the past five years is $10.8 million.

The adopted FY26 City operating budget includes the use of $6.2 million from the General Fund Unassigned Fund Balance. The City Council approved this allocation to help stabilize the amount to be raised by taxes and to mitigate impacts associated with the city-wide revaluation process. Additionally, the Council approved the use of $300,000 from Capital Reserve Funds, further stabilizing the property tax burden.

The estimated 2025 tax rate increase is 0.39 cents. The projected annual impact on the median assessed value is as follows:

  • Single-family homes ($376,300): $147
  • Condominiums ($244,000): $95
  • Manufactured/mobile homes ($149,500): $58

The City Council also adopted the FY26 Capital Improvements Plan totaling $37,491,607. This plan includes a range of capital improvement projects for the City, School District, Water Fund, Sewer Fund, and Tax Increment Financing Districts.

First-issue property tax bills are estimated to be mailed on June 16, 2025, with a due date of July 16, 2025.

Click here to watch the meeting.

Latest Posts

Lilac Family Fun Festival and Annual Fireworks Returns 7/12

The City of Rochester invites the community to the Lilac Family Fun Festival, a...

Governor Ayotte, State Leaders Call for Bell-to-Bell Ban on Cell Phones in Schools

On June 16, 2025, Governor Kelly Ayotte called on legislators to empower school districts...

Water Service Interruption Scheduled for Union Street Parking Lot Area on 6/30

The Department of Public Works will be working on essential infrastructure upgrades in the...

Greater Rochester Chamber of Commerce Announces Scholarship Recipients and Thanks Scholarship Champions

The Greater Rochester Chamber of Commerce is pleased to congratulate and announce this year’s...

More like this

Governor Ayotte, State Leaders Call for Bell-to-Bell Ban on Cell Phones in Schools

On June 16, 2025, Governor Kelly Ayotte called on legislators to empower school districts...

Water Service Interruption Scheduled for Union Street Parking Lot Area on 6/30

The Department of Public Works will be working on essential infrastructure upgrades in the...

Greater Rochester Chamber of Commerce Announces Scholarship Recipients and Thanks Scholarship Champions

The Greater Rochester Chamber of Commerce is pleased to congratulate and announce this year’s...