PEORIA, Ill. (25 News) – The city of Peoria got its first look at the next spending plan.
25 News reports the city council received a letter from City Manager Patrick Urich and Financial Director Kyle Crotty about the 2024-2025 proposed budget.
The budget is forecasting a 5.4% increase in spending overall. Capital spending will increase by more than $26 million, up close to a third from the year prior. The increase is due to spending on the sewer overflow project, along with extra grant funding for it.
Operating expenses are expected to decrease by more than $8 million. But overall, the city expects to spend more than $321 million.
Revenues are expected to go down by around 6%, with an expectation that federal revenues will go down. Local and state taxes are projected to stay the same, but more state revenues are planned to come in.
The letter also suggests a recommendation of adding 13 positions, with an increase of $2.1 million in spending for that next year. Spending on employee benefits is also expected to go up 2.6%.
There are concerns with fire and police pension funding, as it had a negative investment performance through 2022. The city will have to increase their investment over the next five years to make up for the shortfalls.
