The Pella City Council held the first of two budget work sessions Wednesday evening.

Overall, the proposal includes $47.4 million in revenue for the upcoming fiscal year, and $46.7 million in expenditures, resulting in an increase of $642,456 in reserves. The proposed budget includes anticipated increases of 5.36% in staff cost, 3.5% in operating expenses, and 10.5% increase in debt services.

According to City Administrator Mike Nardini, those increases are with the community maintaining the current tax rate of $10.20 per $1,000 of valuation for the 21st consecutive year, as well as steady electric, water, and wastewater rates for utility customers. The average home-owning resident will see a $22 annual increase on taxes and fees, resulting mainly from increased assessments, and partially offset by a statewide residential rollback.

A presentation from City Administration highlighted recent initiatives they found successful, including:
– Advancements on long-term water and electric supply projects
– Wastewater Treatment Plant renovation
– 1,100 Pella Fiber customers connected to Gigabit internet
– Completion of the Wonder Spelen playground
– Developments, including Prairie Ridge, Smash Park, Main Street Market, South Main, and Lely North America

The key issues outlined for the 2023 fiscal year that begins in July includes:
– Pella Ambulance and their ongoing financial difficulties (expected to be a $300,000 expenditure)
– COVID-19 pandemic aftermath, including supply chain, inflation, and staffing concerns
– $3.3 million for the proposed Regional Airport in Mahaska County, and $2.4 million for the Pella Municipal Airport if the first project does not proceed this year
– Solutions for long-term facilities plan needs, including the Pella Community Center and proposed Rec Center at the Pella Sports Park

Among the departments making presentations last night included the Pella Fire, Pella Public Library, Pella Police, and Public Works.

Find the full budget presentation given to the Pella City Council at Wednesday’s meeting by clicking here. A follow-up work session will be held this evening at 6 p.m., which is open to the public.