The City of Batavia has released its proposed Fiscal Year 2026 Budget and Tax Levy, outlining a strategic financial plan designed to maintain and improve high-quality police, fire, and municipal services, address rising costs, and prepare for future growth.
The budget reflects recommendations from the City’s 2024-2028 Strategic Action Plan, which was developed with extensive community input and approved by the Batavia City Council. This plan provides the foundation for decisions that balance fiscal responsibility with long-term investment in the community’s infrastructure, safety, and quality of life.
Maintaining Excellence in City Services
As the City continues to grow, so too does the demand for services and infrastructure upkeep. Years of higher-than-average inflation have increased the cost of operations, materials, and staffing. To continue providing the excellent level of service residents expect—from reliable utilities to responsive public safety—the 2026 budget includes needed increases to property taxes and utility rates.
Strategic Investments for the Future
Key investments in the 2026 budget include adding two police officers to enhance community engagement and traffic enforcement, and two additional firefighters to support the department’s transition from Basic Life Support (BLS) Squad to Advanced Life Support (ALS) Squad emergency response. The Squad is a lighter duty vehicle that generally responds to medical and rescue calls. These represent most of the city’s calls for service. These positions address staffing needs identified in departmental studies and align with the Strategic Action Plan’s goals to strengthen public safety and improve service delivery.
The City also proposes setting aside funds for a future Police Department facility, based on a 2024 space-needs analysis by FGM Architects. A 0.5% increase in the local home-rule sales tax is proposed to begin building reserves for this project, reducing the need for borrowing and future debt costs.
“These adjustments are necessary to ensure Batavia remains a strong, well-functioning city,” said Batavia City Administrator Laura Newman. “Our residents rely on essential services like police, fire, and public works every day, and we are committed to maintaining those services at the high level our community expects and deserves.”
Tax and Fee Adjustments
The budget proposes a 10-cent increase in the City’s property tax rate in 2026, from $0.76 to $0.86 per $100 of equalized assessed valuation (EAV). An additional 10-cent increase is planned for 2027, bringing the total to $0.96 per $100 of EAV. For the owner of a $400,000 home, this represents an annual increase of about $125, or $10.42 per month, in 2026. Even with this adjustment, Batavia’s rate remains close to the average for similarly sized Chicago-area municipalities.
Utility rate changes are also planned to maintain and improve the City’s aging infrastructure:
Electric: A 3% rate increase beginning Jan. 1, 2026—the first since 2015—along with modest base charge adjustments and the issuance of $5 million in bonds for system reliability improvements. As part of the City’s goal to be more resilient, the electric department is working to move power lines underground whenever it is practical. This improves reliability but also adds costs. With severe storms becoming more common, underground lines help protect the system and are a smarter long-term investment.
Water: A 3% rate increase and the addition of a small monthly capital fee ($3.75 for residential and $7.50 for commercial customers) to fund infrastructure upgrades.
Sewer: An 8% rate increase, including the new capital charge structure aligned with the water utility, is needed to repay debt from a multi-year project that replaces end-of-life equipment and upgrades treatment processes to meet updated regulatory standards.
Planning for a Sustainable, Vibrant Batavia
“The 2026 budget positions Batavia for long-term success,” said City of Batavia Finance Director Peggy Colby. “We’re investing in the people, infrastructure, and systems that will keep our city running efficiently and ensure Batavia remains a great place to live, work, and do business.”
Despite fiscal challenges, the City remains on a positive trajectory. The combination of careful financial planning and community-informed priorities will help ensure that Batavia continues to thrive.
Visit bataviail.gov/budget to review the full Fiscal Year 2026 Budget and supporting documents.
The Batavia City Council will hold their first budget review meeting at 7p.m. Tuesday, Nov. 4 at City Hall, 100 N. Island Ave. The meeting is open to the public.