City Administrator Mike Nardini says the budgeting process for the next fiscal year is moving forward smoothly. The Council heard budget proposals this week from all city departments besides the electric services department. Nardini says the first draft of the budget did not contain any tax rate increases or utility rate increases. Council members engaged in a philosophical debate about the possibility of approving rate increases to cover the cost of major infrastructure improvements planned for the next several years. Nardini says all departments have done a good job of running efficiently, which means there’s little need for increased budgets. He says it’s important that rates remain stable in light of current economic conditions, but added that it’s vital for the city to be able to deliver quality services on a consistent basis.