Newark City Council passes its 2026 budget.
The nearly 128 million dollar spending plan includes a 3.3% property tax increase which the city expects to bring an additional $165,000 in revenue.
The tax increase which matches the inflation rate is applicable to residential and commercial properties as council declined to adopt split tax rates like some school districts.
"There are a lot of critical holes in our budget, right, moving forward in out years from here,” said Newark Mayor Travis McDermott. “It's important to realize we're not spending one city penny on road improvement for the entire city. We're relying fully upon the state to provide their state municipal street aid to us, which has not increased in 20 years. So you can imagine what you could get 20 years ago, with the money that they're giving you."
Newark residents will also see higher utility rates after council approved a 22% increase to the electric rate, a 12% increase in water rates and an 8% sewer rate increase.
"It is difficult, but I believe we're just to a position where we're extremely lean. We're stripped, you know, kind of down to the bone as a council member, put it, and we're trying our best to maintain the cost increase, particularly right now when inflation is really high and finding creative ways to cover that cost so that we limit the increase on residents," said Newark City Councilman Jason Lawhorn.
Newark City Council also decided to remove the hiring freeze effective on January 1. Among the biggest benefactors will be the police department which is short several positions.
