HolladayDigest

• Overall FY 2026–2027 Budget Overview

  total projected expenditures of $50,400,000; total revenue of $35 million; approximately $15 million planned for Local Building Authority (LBA) projects (City Hall renovation and Spring Lane site)

• General Fund Revenues and Expenditures

  property tax (24%) and sales tax (21%) identified as largest revenue sources; sales tax revenue budgeted to increase 3.62% over prior year

• Personnel Changes

  addition of a City Prosecutor (previously contracted), two part-time Legal Assistants, conversion of part-time Building Inspector to full-time, conversion of a part-time Court Administrator position to full-time, and addition of a seasonal community theater employee

• Compensation Changes

  2.7% cost of living adjustment (COLA) for all employees; market adjustments for targeted positions; total personnel cost increase of $4,375,000 (15.5%); URS Tier 1 rates decreased, Tier 2 rates increased, with net decrease for City overall; small increase in health, dental, and vision insurance

• Fund Balances

  General Fund unassigned balance estimated at $8,141,000; Capital Projects Fund at $7.8 million (2026) with $879,000 budgeted for use in 2027; RDA Fund Balance use of $1.5 million in 2026 tied to affordable housing spending deadline

• Stormwater Fund

  reviewed; no stormwater utility rate increase contemplated mid-year in this budget

• Law Enforcement and Service Contracts

  UPD contract increase of 2.4% ($199,000); UFA increase of 2.11% ($67,000); Salt Lake County Public Works contract increase of 10.3% ($311,000) due to additional roadwork

• LBA Debt Service

  transfer for 2025 bond debt service increased from approximately $250,000 to $492,000, reflecting first full year of debt

• Justice Court

  18% increase in case volume; interpreter/translation fees increasing by $8,000; discussion of cost-sharing methodology with Millcreek for translation costs; shift of part-time Judicial Assistant to full-time

• Administration

  overall budget of $1.94 million; 70% salaries, 13% charges for service (including Federal Lobbyist and Auditors)

• Community Development

  full-time Building Inspector addition ($80,000 budget increase); new software implementation ($152,000 increase); 16 proposals received through RFP process; discussion of continuity of inspection services and software capabilities

• Attorney's Office

  City Prosecutor and Legal Assistants moved from Justice Court/contracted services into Attorney's Office budget; Legal Services contract (Hayes Godfrey Bell) anticipated to decrease in 2027 after above-norm increases in 2026

• Utah Community Clean Energy Program

  briefly referenced by City Manager Gina Chamness as discussed at prior Council Meeting

• No Property Tax Increase Proposed

  Mayor Fotheringham noted satisfaction that no property tax increase is included in the current budget, though one may be needed in a future year

• Adjourn

  Made ByCouncil Member GraySeconded ByCouncil Member QuinnOutcomePassed unanimously

No individual vote tallies recorded beyond unanimous consent.

• Continue budget discussions at future City Council Meetings

  Christian Larsen / City Staff

• Finalize LBA line item numbers for City Hall renovation and Spring Lane site; anticipate small budget amendment

  Christian Larsen

• Monitor RDA affordable housing spending to meet deadline; amend budget if necessary

  Christian Larsen

• Complete hiring of vacant Legal Assistant position; adjust Attorney's Office budget figures accordingly once candidate is selected

  City Staff (implied)

• Continue Community Development software RFP/selection process

  Jonathan Teerlink

• Fill vacant Justice Court position (previously part-time)

  City Staff (implied)

• Review translation cost-allocation methodology to determine whether higher-cost interpreter needs should be separated by jurisdiction in the spreadsheet

  Christian Larsen (implied, based on Council discussion)

• No property tax increase

  is proposed in the FY 2026–2027 budget; Mayor Fotheringham expressed overall satisfaction with the budget and with the modest UPD and UFA contract increases.

• Translation cost discussion

  Council Member Drew Quinn raised the question of whether Millcreek should bear a greater share of expensive interpreter costs given the origin of those cases. Current allocation is based on total case volume; the more costly interpreter needs are not separated out by city in the spreadsheet.

• Community theater model change

  The budget shifts from a contracted model to a seasonal City employee for community theater services.

• Building Inspector continuity concern

  Jonathan Teerlink noted a decline in quality from contracted inspectors and the lack of continuity for residents across the life of a project, supporting conversion to a full-time position.

• Software and Code Enforcement

  Mayor Fotheringham specifically mentioned Code Enforcement visibility as a desired feature in the new Community Development software.

• Minutes certified by

  Stephanie N. Carlson, MMC, Holladay City Recorder; approved by Mayor Paul Fotheringham on July 16, 2026.