At its Dec. 22 meeting, the Fridley City Council unanimously approved the city’s 2026 budget and tax levy, along with the 2026–30 Capital Investment Program. The public hearing for both items was held Dec. 8.
Finance Director Joe Starks, in a presentation to the council, said the final tax levy includes a 5.92% increase, resulting in an approximate $139 annual increase in city property taxes for a median-value home.
The 2026 budget authorizes $76,084,100 in expenditures and $61,172,700 in revenues.
The council also unanimously approved a resolution reappropriating a number of fiscal year 2025 funds.
Starks said Fridley’s city charter outlines the process for preparing, approving and amending the budget. Under Section 7.07, the council may increase expenditures when actual revenues exceed estimates, provided offsetting reductions are made elsewhere in the budget.
Budget amendments are typically brought before the council in December. Any remaining areas requiring revision are returned to the council before the Annual Comprehensive Financial Report is finalized, Starks said.
Several of the approved budget amendments were related to grant revenue received by the city, as well as expenditures that had not been previously budgeted. The city also received local affordable housing aid in excess of what had been anticipated, Starks said.
In addition, a portion of one of the city’s street projects is already budgeted within the 2025 Streets General Fund. To encumber those funds for use in 2026, the city will transfer spent funds to the Streets Capital Fund, Starks said.