Columbia City Council to vote on $565 million budget
COLUMBIA, Mo. (KMIZ)
After months of discussion, the Columbia City Council will vote on the budget for the 2025 fiscal year during Monday night’s meeting.
The council held a work session on July 29, citing infrastructure, housing social services and public safety as its biggest priorities. At the time proposed budget came in at a $21 million deficit. Three separate public hearings were also held on Aug. 5, Aug. 19 and Sept. 3 to seek feedback from the public.
The new amended budget includes adding $1 million to the police and fire pension and more than $2 million for a partnership with the Missouri Department of Transportation to improve pedestrian safety on Interstate 70.
The original proposed budget for 2025 came in at a $21 million deficit. After amendments which included roughly $3 million in revenue and $7 million in expenses that deficit came out to be $25 million. The city will be bringing in roughly $540 million compared to the $565 million it expects to spend.
The budget includes funding the first year of the new Office of Housing and Neighborhood Services to help preserve existing affordable housing, incentivize new affordable housing, and expand rental and rental housing programs. There will also be continued funding for the DIVERT program, designed to integrate social services into public safety and take the burden off of law enforcement.
The budget also includes an additional $15 million for pay raises. The city argues that the pay increases will help them lead the market which in turn will help them attractive attract and retain talent.
More than half of the general fund will be allocated toward public safety, which the city says will be around $66 million., a 3% increase from last year. The total general fund, which is the largest part of the budget, will be approximately $136 million.
Tax revenue is also expected to increase, total sales are projected to see a $4.5 million boost, which is 6.5% higher than last year. Meanwhile, general property tax revenue is projected to increase by $165,000 (1.5%), while local tax revenue is expected to increase by $2.1 million (12.4%).
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