The East Bethel City Council has unanimously approved the city’s 2026 budget, which includes a 3.8% increase in the property tax levy. This decision aims to address rising personnel costs, contractual obligations, and state-mandated programs while ensuring the continuation of essential services.
Finance Director Mike Jeziorski explained that for a homeowner with a property valued at $400,000, this levy increase translates to an additional $4 per month, bringing the city portion of the annual tax bill to $1,276.56, or approximately $106.38 per month.
The total city levy for 2026 is set at $6,638,600, up from $6,392,500 in 2025. The general fund, which supports core services such as public safety, public works, administration, and elections, is projected to grow by 7%, with revenues increasing from $6,976,300 in 2025 to $7,455,700 in 2026. Property taxes account for 77% of East Bethel’s general fund revenue.
During the budget development process, city officials highlighted that in 2024, general fund revenues exceeded budgeted amounts by 2%, while expenditures were 5% below budget. As of December 31, 2024, the city’s general fund balance stood at $5.2 million, equal to approximately 75% of the 2025 budget.
Personnel expenses are among the most significant drivers of the 2026 budget. The city will employ 22 full-time employees in 2026, all receiving an 8% cost of living adjustment, along with a $1,500 monthly cafeteria contribution. Public works expenditures are set to rise from $1,685,000 to $1,773,700.
During the public comment period, residents expressed concerns about property valuations and the city’s reliance on property taxes. One resident noted a significant increase in their home’s assessed value, while another questioned the city’s dependence on property taxes for 77% of its revenue and suggested exploring alternative revenue sources.
City officials stated that the approved budget positions East Bethel to meet its financial obligations, maintain strong reserves, and continue delivering essential services in 2026, while acknowledging the concerns raised by residents as part of the ongoing budget and taxation discussion.