By ALICIA FEYERHERM
Tiger Media Network
The Hays City Commission approved the 2026 budget during Thursday’s commission meeting.
While initial budget drafts indicated a potential need to increase the mill levy, commissioners asked City Staff to find a way to keep the rate revenue neutral.
“Bond timing and interest rates that the City received due to a strong credit rating, there is a path to remaining revenue neutral,” Deputy City Manager Collin Bielser said.
The 2025 budget included improvements to the Exit 161 property; however, Bielser noted the development took longer than expected, so the City was able to issue a temporary note rather than permanent financing and therefore saved on interest.
Hays citizen David Vilaysing spoke up during the rate hearing.
“I’ve talked to a lot of citizens over the past few months and they are heavily taxed, and they’re burdened right now,” Vilaysing said. “If you could do anything to help relieve that, it’d be greatly appreciated.”
After the hearing closed and no motion was made to exceed revenue neutral, Bielser provided an overview of the proposed 2026 budget.
“This budget has been based on a cautionary approach to maintain operations rather than expanding,” he said.
The City mill levy has remained at 25 mills or lower for 17 consecutive years.
Bielser noted that the majority of the General Fund revenues are generated through sales tax.
“The general fund obviously pays for the bulk of our operations, police protection, fire protection, parks, streets,” Bielser said.
Commissioner Mason Ruder pointed out that most cities use property taxes to fund operations rather than sales tax as Hays does. Bielser agreed, saying “99 percent of towns do that”.
Furthermore, Bielser noted the majority of sales tax goes to the state.
The sales tax rate of 9.25 percent is average compared to other cities and towns, with Junction City having among the highest sales tax and Wichita the lowest.
Notable projects for the coming year include road design for 22nd Street from Vine to Canterbury, General Hays Road from Centennial Avenue to 27th and then Oak Street from 27th to 29th.
The construction for the Vine project is slated for 2027 and the General Hays Road and Oak Street projects for 2028.
City Hall and the Parks and Public Works building will also be upgrading HVAC equipment this year.
The Parks department will receive three new trucks, two fairway mowers and a new backhoe will be purchased for Public Works.
“Something that’s really, I’ll use the word ‘fun’ about the City of Hays is that this is all paid by cash, too,” Bielser said. “A lot of cities will have to borrow or lease equipment. We prudently budget and pay for these in cash.”
Mayor Sandy Jacobs thanked department heads for their diligence in maintaining equipment.
“I don’t know how many times we have equipment that’s supposed to last 10 years and we’re on year 13 when we’re ready to buy something new,” Jacobs said.
As for the levied funds, the City’s portion of all property taxes is only 15 percent.
Looking at the City’s mill levy, Hays has the 13th lowest city mill levy in the state and the lowest outside of Johnson County. In terms of total mill levy, Hays is the 12th lowest.
The Airport is a levied fund. The City estimates a $350,000 expense for a terminal study at Hays Regional Airport with total airport expenditures of $1,125,737.
Public Safety equipment is also a levied fund and the budget includes 16 sets of bunker gear for the fire department, two police vehicles and four patrol car laptops and equipment.
Projects are also planned for Water Production and Distribution, Water Reclamation and Reuse, and Street Maintenance.
Special Park Projects are funded by the alcoholic liquor tax at restaurants as well as through the transient guest tax. In 2026, $160,000 from that fund will be used for a shade structure with pour-in-play surfacing for the playground at the northeast quad at Bickel-Schmidt Complex.
Ruder said this budget was a win-win.
“I appreciate each one of you,” Jacobs said. “I know everybody had some conversations involved in this and to be able to walk away and lower our mill is important.”
The budget passed 5-0.
The commission also approved three resolutions regarding general nuisance abatements.
The next City Commission meeting will be at 4:00 p.m. on September 25 at City Hall.
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