(Atlantic, Iowa) – The Atlantic City Council will hold what City Administrator John Lund says , “Is probably the most important meeting of the year, with the adoption of the FY 2026 Budget and Capital Improvement Plan.” He said also, that he does “not anticipate it being a short meeting.”

The first item of business during the Council’s 5:30-p.m.  meeting at City Hall, is action on passing “A  resolution designating the distribution of Sales Tax Revenues to various funds, for specific purposes.” Lund says the resolution includes minor changes and additions to a previous version presented to the Council on Feb. 19th, and now includes the new, long-term plan for the YMCA expansion and how the City intends to support the project. The resolution also incorporates (as it has in the past), allocation of the Local Option Sales Tax (LOST), but a change in the formula for that will divert resources from the LOST Streets and Progress funds into LOST for parks, allowing for $188,050 to enter the  LOST Recreation Center (YMCA) Fund, in preparation to service the debt on a future 20-year, $2.5-million in revenue debt for the YMCA expansion.

Atlantic Mayor Grace Garrett will preside, Wednesday, over the swearing-in of Atlantic Police Department SRO (School Resource Officer) Ben Sandy, who, as previously mentioned joined the police force earlier this month specifically for the SRO position. The Council will then receive a presentation from local Trees Forever representative Dolly Bergmann. They are expecting to act on re-appointing Judd Meneely to the AMU Board of Trustees, and then hold a public hearing on adopting the City’s (Tentative) Fiscal Year 2026 Budget.

City Administrator John Lund says the budget is “tentative,” because it will likely receive a significant budget amendment in FY26, pending legislative action (which may result in the largest overhaul of property taxes since the current system was implemented, according to Lund). Regardless of what that outcome is, the City must adopt its budget BEFORE the legislative session ends. The budget, as presented, proceeds on expectation the current system will remain in-place.

In summarizing the FY26 budget, John Lund says it totals $21,787,586 in expenditures, which is an increase of 15.94% (or nearly $3-million) from the FY2025 budget, with regard to expenditures. The City’s combined property tax levy will increase from $17.25/$1,000 assessed valuation to $17.85/$1,000. The Budget includes a 3% increase in compensation to all non-union City employees and Public Works Union Employees, and a 3.75% increase for Police Union employees. There are NO increases to existing, non-utility fees being proposed.

Following the budget hearing, the Council will act on passing a resolution adopting the budget, and then hold a public hearing on adopting the FY2026 10-year Capital Improvement Plan (CIP), followed by passing a resolution approving the CIP, which calls for more than $25.8-million in total improvements to the City’s physical assets (such as streets, major equipment, parks, storm water/sewer system and sewage/wastewater treatment plant).

In other business, the Council will discuss meeting rules and procedures, in light of a disagreement during their April 2nd meeting, with regard to amending the agenda and other such procedural matters. They will also act on passing a resolution pertaining to the sale of bonds and approval of a bond purchase agreement.