During a recent government meeting, officials from Westmoreland discussed the pressing need for increased revenue to address the city's financial challenges. The conversation highlighted that the city has not seen a tax increase in nearly 30 years, relying instead on rate adjustments from property reappraisals. However, the current budget for 2024 is strained, with significant increases in expenses, particularly in emergency communication costs, which have risen from 2% in 2014 to an anticipated $111,000 for the upcoming year.
Officials noted that neighboring Portland recently approved a 17-cent tax hike to improve employee pay, which has raised concerns about Westmoreland's ability to compete for talent. The city has struggled to provide pay raises in its 2024-2025 budget, leading to cuts in various areas. The lack of transparency regarding financial decisions was also a point of contention, with officials acknowledging that many residents are unaware of the complexities involved in managing city finances.
The discussion emphasized the limitations of revenue sources available to the city, which primarily include property and sales taxes, as well as state funding that is often unpredictable. Officials expressed frustration over the rising costs of essential services and infrastructure maintenance, which have been exacerbated by inflation and increased fees from service providers.
In light of these challenges, the city administration is considering raising the property tax rate from the proposed 64 cents to 83 cents. Officials stressed that this decision is not made lightly, as they aim to ensure the city can maintain essential services, including public safety and infrastructure upkeep. The meeting concluded with a commitment to finding a balanced approach that addresses both the financial needs of the city and the concerns of its residents.