“The proposed budget includes a property tax increase of $2,807,745, or 55.45%,” wrote City Manager Matthew Andrews in the budget message included in the meeting packet for Tuesday’s City Council meeting. “Of this amount, $455,321 addresses the revenue shortfall associated with the Cost-of-Living Adjustment (COLA) implemented this year, $481,523 is allocated for a 2.8% COLA for the upcoming fiscal year, and $1,870,901 is designated for wage correction adjustments. These figures may vary depending on the scope and level of wage corrections ultimately implemented.

“This budget reflects the collaborative efforts of the City Manager, Department Directors, their teams, and the Mayor and City Council.”

The total General Fund budget for 2026-27, Andrews said, is $30,429,664 and is “balanced, with expected revenues aligned with anticipated expenditures.”

Employee retention is a “key area of emphasis,” according to Andrews.

“The proposal includes a Cost-of-Living Adjustment (COLA) and preserves employee merit increases,” Andrews said. “While these measures provide important support, many neighboring cities have implemented more aggressive wage adjustments, placing Roy City at a growing competitive disadvantage. This impact is being felt more significantly in certain departments. As we move into upcoming budget work sessions, we recommend dedicating time to a more in-depth discussion on employee compensation. As currently proposed, the budget does not fully address the needs identified in the City Council’s Strategic Plan in this area.”

The City Council approved a 28% tax increase in August 2025, but it was denied by the Utah State Tax Commission. The increase, according to the packet, “would have been allocated to employees in the form of a 2.5% COLA and wage increases for wage discrepancies compared to similar positions in surrounding cities.”

In March, the City Council elected to give the employees a 2.5% COLA.

“Without the tax increase in 2025, this has created a short fall in the FY2027 budget,” the packet reads. “If the portion of the proposed property tax increase for revenue shortage is not approved, the General Fund will need to use a contribution from fund balance of $455,321 to balance revenues and expenditures.”

Tuesday’s City Council meeting will be held at 5:30 p.m. at the Roy City Council Chambers, 5051 S 1900 W.

Also Tuesday will be a town hall meeting at 7 p.m. to discuss possible annexation with the Weber Fire District, Roy City announced on Facebook. Weber Fire District Chief Britt Clark will be in attendance.

“On February 3, 2026, Weber Fire District presented a proposal to the Mayor and Council for Roy City to join Weber Fire District,” the meeting packet reads. “The Mayor and Council have been actively reviewing this proposal to determine the most cost-effective and desirable fire and emergency services for Roy City residents. A decision is expected to be made before fall 2026. This budget has been prepared assuming the fire department remains with Roy City and will be amended if needed.”

Contact Standard-Examiner editor Ryan Comer at rcomer@standard.net.