The Bend City Council held a combined Budget Committee meeting, Work Session, and Regular Session on May 7, 2025, from 5:00 PM to approximately 9:00 PM. The meeting covered the proposed 2025-2027 biennial budget, updates on the Outback Water Filtration Facility and the SPARK! continuous improvement program, adoption of the Phase 2 Transportation Fee, and numerous other items including contracts, ordinances, and proclamations.
Outback Water Filtration Facility Project Update (30 minutes):
SPARK! Continuous Improvement Program (15 minutes):
Executive Session (30 minutes):
Consent Calendar:
Public Comments & Testimony:
Discussion Items:
Key Outcomes:
The city of Bend and Bend Urban Renewal Agency Budget Committee meeting. And like to start with introductions. And Jerry, I think we'll just start over here with you and just go around the guys if you could just introduce yourself. That's it. Committee member. Committee. All right. Gina Franzosa, City Councillor. Committee member. Councilor Ariel Mendez, he him. Mike Riley, EM, City Councillor, and Budget Committee member. Chuck Peters, budget committee. Cat Mas Strangelo, committee member and chair of the budget committee. Megan Perkins, she, her, Ben City Councillor. Emily Cortez, committee member, she her A. Yeah, uh Steve Platt, Ben City Councillor Gee. Trevor Campbell, budget committee. Right. And with that, I am going to turn it over to Eric so that we can receive the city manager's budget committee message. Great. We were just talking about we are so we get excited actually. There's a lot of work that has gone into this budget over the past uh probably eight months. I think we we kicked off the budget in late October. Uh so it's really my honor to present the proposed 25-27 biannual budget. This 1.48 billion plan, or it's which is an increase of 9% over the current biennium, is more than a financial document. It's a roadmap for achieving the city council's vision for Bend, grounded in our guiding principles, safety and belonging, inclusive governance, environment and climate, fiscal stewardship, and partnership. This budget is shaped by both opportunity and challenge, then continues to grow, though at a slower pace. Rising costs and economic uncertainty at the state and federal levels have created a structural imbalance between revenue and expenses. To address this, we've prioritized sustainable funding, conservative spending, and a strategic use of reserves and one-time revenues while maintaining core services and advancing council goals. Thanks to the strong financial policies and ongoing contingency planning. Annual operating revenues are projected to grow modestly, uh, 4.5% from fiscal 25 to 26 and 3% from fiscal 26 to 27. Highlighting the importance of careful planning and cost control as we work to align revenues with rising service demands. Property taxes are projected to grow by five four point five percent annually, supporting police, fire and street services, utility rate adjustments and development fee increases will help maintain essential infrastructure and improve long-term financial sustainability. The second phase of the transportation fee is expected to generate 10 million annually, but continued general fund support also 10 million is still needed to meet service demands and rising costs. An increase aligned with our population growth. Uh to score housing goals, we've invested 4.9 million in federal pro housing grant funds to improve permit efficiency, remove zoning barriers, and support housing, land acquisitions, and staffing, laying the groundwork for more affordable housing opportunities. A dedicated housing production strategy work group will explore new financing and policy tools under the heading of transportation and infrastructure. Uh over 47 million is allocated to improve safety and mobility. This includes 15.9 million for projects like Hawthorne Crossing and Franklin Avenue, 23.2 million for the Bend Bikeway and intersection upgrades, and 8.9 million for the septic to sewer program. The transportation fee will fund four new FTEs, full-time equivalent employees to enhance street maintenance and implement the transportation system plan. Under the heading of climate resiliency, we're investing in wildfire prevention, water conservation, and electrification policy development. This includes 200,000 annually for climate outreach, 270,000 to expand water conservation programs and a new fire and rescue F uh FTE focused on wildfire awareness and hazard assessments. In public safety, we're enhancing our traffic enforcement through automated traffic enforcement technology. A contracts coming before council here soon. And supporting livability focused police teams with two new FTEs. These investments respond directly to community priorities and support cross-departmental collaboration. Under economic prosperity, we're launching a new economic development strategic plan, reclassifying a vacant position into an economic development officer. We have interviews, final interviews this Friday, and consolidating funds to support traded sector recruitment, small business growth, and workforce development. We're also investing 900,000 in a city hall master plan and exploring public-private partnerships to leverage city assets. And then lastly, accessible and effective city government.