Winchester City Commission Meeting - September 15, 2026

The Winchester City Commission met on September 15, 2026. The meeting opened with the Pledge of Allegiance led by Logan Hart and an invocation by Police Chief Travis Thompson. Commissioner Toole was excused for the start; she was attending a continuing education class in Lexington and was expected to join later, texting that she was 10 to 15 minutes out. The agenda included a Financial Needs 2026 Update, consent items, a proclamation honoring Ken Davis, and no public comments.

Consent Calendar

• The commission approved the minutes from the September 1, 2026 special meeting at 4:30 and the regular meeting at 5:30.
• The commission approved departmental and agency reports.
• Information-only items under agenda item 5, A through H, were acknowledged.

Public Comments & Testimony

• No members of the public spoke; the mayor noted there were no public comments.

Financial Needs 2026 Update Presentation

• Logan Hart, Director of Community and Economic Development for the Bluegrass Aid District, presented the Financial Needs 2026 Update. He noted that Winchester was the first city for which his team completed this kind of study in 2024 and that other cities and counties have since requested similar work.
• Hart said Winchester is in good financial shape and not in crisis, but its operating margin is narrow. The city must continue to be careful about spending and project prioritization.
• He said the update captures the effects of the city's enacted rate changes, including a 2.15% occupational license fee and a 12% insurance premium tax.
• The city spent slightly more than it took in, producing an operating shortfall of about $796,000. Outstanding debt was $13.1 million, about $4.7 million above the 2024 projection; debt is projected to fall to about $10.4 million by 2030, roughly $4.1 million below the earlier projection.
• The updated projection for spending by fiscal year 2030 is $43.7 million, compared with the 2024 projection of $23.3 million. The increase includes capital purchases for fire apparatus and several large capital construction projects.
• Reserves fell to $15.1 million in fiscal year 2024, rebounded to $21.6 million in fiscal year 2025, and are projected to decline to about $18.6 million by fiscal year 2030. Taken together, higher debt service and lower reserves mean less flexibility for local match on grants, contingency funds, and unplanned projects.
• Hart said the city is projected to roughly break even around 2034 under currently adopted rates, with very little margin for error and no crisis. Small surpluses would begin around 2034, but unplanned expenditures could affect that timing.
• Several current projects have secured funding, but some do not. Two shovel-ready stormwater projects totaling more than $2.25 million still lack identified funding, so the city must decide how to fund them in the coming years.
• Hart presented two policy options for informational purposes only and said he was not advocating for action. One option produced $18.7 million in direct revenue and nearly closed the operating gap with no further increase; the average per-person impact was estimated at $649, and changing the rate to 2.25% would make it $679 per person, about a $30 increase per person. The insurance premium tax currently generates about $288 per capita and was not shown with options.
• Hart also mentioned service consolidation as a topic many communities are considering. He recommended a separate feasibility analysis before any decision, since consolidation can sometimes lower costs or affect services and sometimes does not.
• Hart said he and staff plan to review revenue and expenditures quarterly so they can adjust before the June 30 fiscal year end if needed.

Discussion Items

• The mayor said the city needs to focus on building a healthy reserve and that the recent projects were completed without a tax increase. He said the commission must tighten the belt and find different ways to do things. He also noted that many projects had languished for years and that the city had a reserve that previously sat unused.
• Discussion noted gasoline spending of between $30,000 and $36,000 per month, with rising prices adding pressure. A commissioner said the city cannot refuse to send a fire truck or ambulance when needed.
• A commissioner recalled economic downturns in 2004, 2008, 2014, and 2020 and warned that small towns with one major employer are vulnerable because occupational tax depends heavily on that employer. The commissioner argued it is better to have 20 employers with 500 or 200 jobs each than one 4,000-job employer because the city would be at that employer's mercy.
• The mayor thanked Hart and said the information gives the commission a lot to think about, with the number one goal of continuing services as the community is used to having them.

Proclamation Honoring Ken Davis

• The city issued a proclamation honoring Ken Davis. The mayor remembered Davis as his next-door neighbor and dear friend who taught him to hunt, fish, and play cards.

Key Outcomes

• Approved the September 1, 2026 meeting minutes.
• Approved departmental and agency reports.
• Received the Financial Needs 2026 Update as information; no rate changes or policy actions were adopted.
• Issued the proclamation honoring Ken Davis.
• No public comments were received.