[{"_1":2,"_103":-5,"_104":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,74,84,94],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":-5,"_54":55,"_56":57,"_58":59,"_60":61,"_62":63,"_64":65,"_66":67,"_68":69,"_70":67,"_71":72,"_73":72},"mediaId",6485671,"mediaKeyId","5600113-4325683338fe2dc996c002cf1f6de3c3","parentId",5600113,"title","Newark manager previews FY2026 budget with $20 million general-fund gap; warns of PFAS, substation costs and possible rate hikes","audioSeconds",4118,"startMs",1074000,"endMs",5192000,"viewUrl","/Search/View?dp=1&key=5600113-4325683338fe2dc996c002cf1f6de3c3&start=1074&end=5192","thumbnailUrl","https://d352y6ypj4mjo3.cloudfront.net/AudioPlaceholder.png","articleUrl","/articles/6485671/Newark/New-Castle-County/Delaware/Newark-manager-previews-FY2026-budget-with-20-million-general-fund-gap-warns-of-PFAS-substation-costs-and-possible-rate-hikes","mediaUrl","author","City Council of Newark DE","date","2025-08-18T00:00:00Z","article","City Manager Tom Coleman on Aug. 18 presented a high-level preview of the proposed fiscal 2026 operating and capital budget to the City of Newark Council, saying the city faces an approximate $20 million shortfall in the general fund and will likely need new revenue or spending reductions to maintain current service levels.

Coleman said the city is \"projecting revenues of approximately a $128,000,000,\" while department director figures show operating expenses of about $127,600,000, leaving a structural gap that planners expect to fill with a mix of transfers, borrowing and potential rate or tax increases.

The nut graf: Coleman and budget staff told council that the shortfall stems from rising personnel and utility purchase costs, inflation on materials, the end of federal grant programs such as ARPA, weaker permit revenues tied to slower construction activity, and continuing capital needs including a planned electric substation and federally required PFAS treatment at the Curtis Water Treatment Plant.

More detail: Director Jill Hollander summarized operating costs and drivers, saying personnel and utility purchases account for roughly 79% of operating expenses and noting a projected 7% increase in health insurance and 3–5% range for cost-of-living increases set by union agreements. Hollander said operating expenses are up about 5% from 2025 and that the general fund shortfall must be addressed by policy decisions. \"This shortfall can be thought of as a gap between operational needs and available resources,\" she said.

Coleman and staff identified several specific pressures and choices for council consideration: whether to raise utility rates (the administration estimated the water fund may need an increase \"by probably 25% or more\" to cover debt service and operating costs for the required PFAS treatment project at Curtis); creation of a rate stabilization adjustment (RSA) for water and sewer funds similar to the existing electric RSA; phased rate increases to avoid a single-year rate shock; a hiring freeze or targeted vacancies to reduce costs during the budget process; and new fees such as charging for mailed utility bills (staff noted about $135,000 per year in postage). Coleman said, \"we're going to have to start paying for capital ourselves again,\" citing the end of large federal grants.

Capital highlights and timing: staff displayed a proposed capital program that includes a new electric substation (to be financed in part through a DMACC-bundled borrowing) and a $27.06 million planned borrowing for PFAS treatment at Curtis Water Treatment Plant to meet regulatory requirements. Coleman told council the net cash need from current resources for 2026 capital is roughly $7 million. For water PFAS treatment, staff estimated about $1.5 million per year in debt service and roughly $1 million per year for filter rebedding as operating costs once treatment is online, leading to the roughly 25% water-rate estimate. The city expects to be about two to three years away from debt-service payments on that project.

Revenue changes called out by staff included a projected decline in building permit revenue from about $1.6 million to roughly $1.0 million (a $600,000 reduction) and a drop in parking and related revenue tied to lower downtown demand and the end of a temporary lease for a surface lot.

Council response and next steps: council members pressed for additional detail during upcoming departmental hearings and asked staff to return with more analysis on options such as staged rate increases, mininum retained capital in funds, and targeted vacancy holds. Several council members supported establishing an RSA for water and sewer and phasing in PFAS-related increases over multiple years. Staff laid out a schedule of departmental presentations leading to a final budget workshop on Nov. 3.

Ending: Coleman and staff did not request votes on fiscal policy at the Aug. 18 meeting; instead they asked for council guidance as department-level hearings proceed and for direction on whether to hold noncritical vacant positions pending the budget outcome.","mediaType","Audio","parentTitle","August 18, 2025","oneSentenceSummary","City Manager Tom Coleman on Aug. 18 presented a high-level preview of the proposed fiscal 2026 operating and capital budget to the City of Newark Council, saying the city faces an approximate $20 million shortfall in the general fund and will likely need new revenue or spending reductions to maintain current service levels.","taxTitle","Newark, New Castle County, Delaware","taxId",56514,"location","headline","","shortSummary",{"_33":75,"_35":36,"_37":38,"_39":76,"_41":77,"_43":78,"_45":79,"_47":80,"_49":50,"_51":81,"_53":-5,"_54":55,"_56":57,"_58":82,"_60":61,"_62":63,"_64":83,"_66":67,"_68":69,"_70":67,"_71":72,"_73":72},6485657,"Newark Partnership reports mural planning, successful Food & Brew turnout and veteran-banner timeline",160,147000,307000,"/Search/View?dp=1&key=5600113-4325683338fe2dc996c002cf1f6de3c3&start=147&end=307","/articles/6485657/Newark/New-Castle-County/Delaware/Newark-Partnership-reports-mural-planning-successful-Food-Brew-turnout-and-veteran-banner-timeline","A representative of the Newark Partnership briefed the City of Newark Council on Aug. 18 about community events and local projects, reporting progress on a Library Avenue mural, results from the July 27 Food & Brew event, timelines for a veteran-banner project, and upcoming community programs.

Ali (Newark Partnership) said the mural committee met Aug. 13 to review early drafts of a mural budget, memoranda of understanding and a preliminary community outreach plan. The partnership expects to begin limited early outreach and a public survey at an upcoming community day.

Regarding downtown promotion, Ali reported that Out & About produced 2,000 tasting mugs for the Food & Brew event; \"over 1,750 were given out at the event,\" and the partnership's passport program received more than 300 submissions, which staff said likely represents at least that many attendees who visited five or more participating locations in a single day.

On the veteran banner project, Ali said initial data collection is expected to be complete by the end of August and designs finalized by early October. The Newark Partnership also said it will mark its sixth anniversary Aug. 30 with a small fundraising drive seeking $6,000 to support fall programs; another program, \"Knowing Newark,\" is scheduled Oct. 6 at 6 p.m. at the Newark Senior Center with a focus on Newark Free Library history. The \"Stars and Strides\" 5K is planned for Nov. 8 with fundraising goals and named beneficiary organizations noted by the presenter.

Council members thanked the partnership and asked for continued metrics on event performance to enable year‑over‑year comparisons.

Ending: No council action was requested or taken on these items; the update was informational and will continue to regular partnership updates to council.","A Newark Partnership representative updated council on community projects including early-stage planning for a Library Avenue mural, a successful Food & Brew event with more than 1,750 tasting mugs distributed and over 300 passport submissions, a veteran banner project's design timeline, and a $6,000 fundraising goal tied to the group's sixth-ann",{"_33":85,"_35":36,"_37":38,"_39":86,"_41":87,"_43":88,"_45":89,"_47":90,"_49":50,"_51":91,"_53":-5,"_54":55,"_56":57,"_58":92,"_60":61,"_62":63,"_64":93,"_66":67,"_68":69,"_70":67,"_71":72,"_73":72},6485661,"Lobbyist reports special session stopgaps on reassessments; county to reissue Newcastle County bills, council told",277,543000,820000,"/Search/View?dp=1&key=5600113-4325683338fe2dc996c002cf1f6de3c3&start=543&end=820","/articles/6485661/Newark/New-Castle-County/Delaware/Lobbyist-reports-special-session-stopgaps-on-reassessments-county-to-reissue-Newcastle-County-bills-council-told","A lobbyist briefing to the City of Newark Council on Aug. 18 summarized actions taken by the General Assembly in a one-day special session on Aug. 12 that the presenter described as stopgap measures addressing property tax reassessment issues in Newcastle County.

The presenter, identified in the meeting as James (lobbyist), said the session produced a bill that \"codified the fact that towns can, bill at a residential rate and a commercial rate\" and allows school districts to do likewise. The special session also provided a mechanism for taxpayers who have already paid their 2025 bills to receive credits after calculations are redone and extended the payment deadline while reassessments are being corrected.

Why it matters: James told council the resolution accompanying the special session directs further study of reassessment methodologies to ensure sound metrics and recommended additional work in the coming legislative year to avoid repeating the process in four to five years. He said the county is preparing to reissue corrected tax bills for Newcastle County, and that school districts must decide their rates and submit them to the county within an expected 10-day timeframe so the county can reissue new bills with the revised school-rate allocations.

Council members asked follow-up questions about timing and whether the county will reissue bills; the lobbyist said the county will reissue and that payment deadlines were moved out by approximately one month (the presenter referenced an October/November timeline for school districts receiving funds, rather than the usual October timing). The lobbyist characterized the special session as an opportunity to start refining reassessment procedures, noting many localities had not completed reassessments in decades.

Ending: Council members said they will reserve more detailed comments for future meetings when split-rate and local implications are considered again in council deliberations.","A lobbyist briefed Newark council on Aug. 18 about a one-day special session of the General Assembly that enacted short-term measures to address property tax reassessment problems in Newcastle County, including allowing split residential/commercial tax rates, credits for overpayments and extended payment deadlines.",{"_33":95,"_35":36,"_37":38,"_39":96,"_41":97,"_43":98,"_45":44,"_47":99,"_49":50,"_51":100,"_53":-5,"_54":55,"_56":57,"_58":101,"_60":61,"_62":63,"_64":102,"_66":67,"_68":69,"_70":67,"_71":72,"_73":72},6485666,"Votes at a glance: Aug. 18 Newark Council approves consent agenda and awards Main Street safety contract",42,1032000,"/Search/View?dp=1&key=5600113-4325683338fe2dc996c002cf1f6de3c3&start=1032&end=1074","/articles/6485666/Newark/New-Castle-County/Delaware/Votes-at-a-glance-Aug-18-Newark-Council-approves-consent-agenda-and-awards-Main-Street-safety-contract","The City of Newark Council on Aug. 18 voted on two routine items and recorded no action on a recently received one-time refund.

The council approved the consent agenda, which included receipt of the July 1, 2025 Planning Commission meeting minutes and the July 2025 aldermen's report, by a 5-0 vote.

The council also voted 5-0 to amend the approved 2025–2029 Capital Improvement Plan as described in the staff memo dated Aug. 11, 2025 and to award Invitation to Bid 25-08, Main Street Safety Improvements, to the lowest qualified bidder, Zone Striping Incorporated, in the amount of $146,365.15. The motion and second were recorded and the roll-call vote was: Councilwoman Ford — Aye; Councilman Bancroft — Aye; Councilman Brown — Aye; Councilman Lawhorn — Aye; and Mayor — Aye. (Names and titles are as recorded in the meeting transcript.)

Separately, the administration reported receipt of a $1,030,741 refund resulting from a successful challenge to a wholesale electric charge related to the Indian River power plant. City Manager Tom Coleman said the refund is one-time funding and recommended it be used for nonrecurring costs; council members opted to wait and decide later in the budget process whether to apply that money to capital (council indicated the substation would be a logical candidate).

Ending: The council took no further votes on budget policy at the Aug. 18 meeting; departmental budget hearings will determine final allocations and any use of one-time funds.","At its Aug. 18 meeting the City of Newark Council approved the consent agenda and unanimously awarded a contract for Main Street safety improvements. Both items passed 5-0; the council deferred allocating a $1,030,741 wholesale-electric refund until budget hearings progress.","actionData","errors"]

Article not found

Newark manager previews FY2026 budget with $20 million general-fund gap; warns of PFAS, substation costs and possible rate hikes

Newark Partnership reports mural planning, successful Food & Brew turnout and veteran-banner timeline

Lobbyist reports special session stopgaps on reassessments; county to reissue Newcastle County bills, council told

Votes at a glance: Aug. 18 Newark Council approves consent agenda and awards Main Street safety contract