Abilene's Proposed 2027 Budget Raises Mill Levy

Interim City Manager Quinday presented the City of Abilene's proposed 2027 budget and financial plan, describing it as a "stabilization budget" rather than one of expansion or restoration.

The proposed tax levy is 50.271 mills, compared to 48.039 mills adopted for 2026 — a difference of 2.232 mills. Quende said the entire increase is attributable to a 27th bi-weekly payroll that falls in calendar year 2027, an occurrence he said happens about every 11 years. "What the 27th payroll does not represent is it does not add employees. It does not increase pay rates. It does not expand city services," he said. Without the 27th payroll, he said, the levy would remain flat at 48.039 mills.

Of the proposed levy, 8.22 mills are dedicated to the Abilene Public Library, leaving about 42 mills for other city purposes. The total city property tax requirement for the city and library is approximately $3.6 million.

The budget provides a 3% cost-of-living adjustment for city employees following no COLA in 2026, and includes approximately $3.1 million in planned capital investment made possible largely by grants, dedicated funding and financing. Quinday said roughly $395,000 in general fund operating expenditure reductions remain in place, eliminated public works and police officer positions are not restored, and about $1.3 million in general fund capital and equipment needs remain deferred.

He said the proposed general fund ending reserve of about $240,000 is only about 30% of the city's policy minimum, and the budget includes no general fund contingency. "Stabilization of the budget should not be confused with financial sustainability," he said. A revenue neutral rate hearing and budget hearing are scheduled for September 14 at 4 p.m. at the library, with final valuation not certified until mid-November.