May 05, 2026
Dwayne Page
Plans for a $1.7 million renovation to the Smithville Municipal Water Treatment Plant and a new pay scale for the Smithville Police Department are included in the proposed 2026-27 City of Smithville budget.
During the regular monthly meeting Monday night, May 4 the Board of Mayor and Aldermen adopted on first reading the new budget ordinance for the 2026-27 fiscal year.
The water plant rehab estimated at $1.725 million is expected to get underway later this year. The renovation will include equipment replacement, small improvements, and structural repairs. The city had sought to apply for a Community Development Block Grant to cover most of the project costs but later learned the city was not eligible. With no available grant assistance, the city will have to fund the renovation itself using funds from the $6 million water and sewer fund reserves.
The budget includes a new pay scale for the police department as proposed by Chief Mark Collins.
The Smithville Police Department has 15 full time officers and they rotate working 12 hour shifts. Smithville pays its entry level police officers $18.46 an hour. Currently, the police department is on a four-year step pay scale. Officers who top out after four years only get a yearly cost of living increase as budgeted by the mayor and aldermen as with other city employees.
The city is adopting a new pay scale for the police department with starting pay increasing to $24.01 per hour and top out pay at $28.04 after four years. The impact to the new city budget would be an extra expense of about $130,000 per year.
Meanwhile, the City Fire Chief, who holds a full-time position is to get a significant pay raise, with this total salary going from $64,813 to $70,700 per year.
Other city employees will get an across the board 3% pay raise for hourly city and salaried employees. Those with up to four years of service are to get a step raise due them on their employment anniversary date along with the 3% increase.
Property tax rates for City of Smithville landowners will not be going up this year, but water and sewer rates will be raised by 4% in order to keep utility revenues ahead of expenses, per state requirement.
The city property tax rate is 0.7523 cents per $100 of assessed value and it is expected to generate $1,176,000 in local revenue. The new certified city property tax rate after the 2026 county reappraisal will be applied when it is finalized but it is to bring in overall about the same amount of local tax dollars as 2025-26.
The new rates for city water customers will be $8.93 per thousand gallons of usage (up from the current rate of $8.59 per thousand). Rates for customers outside the city limits will be $13.40 per thousand (up from the current rate of $12.88 per thousand. City sewer customers will pay $8.32 per thousand (up from the current rate of $8.00 per thousand).
Under state law, if a utility operates at a loss for more than two years and doesn’t address it, the state has the authority to force rate increases to make it solvent. The city is projected to finished the 2025-26 year June 30 on the plus side by only $2,914 but is projected to be in the red by $210,704 at the end of the 2026-27 year mainly due to the $1.7 million water plant renovation planned for the new year and a recently completed $3 million sewer line rehab project.
The current deposit policy for new water and sewer customers will be abolished to be replaced with a new $75 application fee.
The city is to get a $249,375 infrastructure planning grant to partially fund a water rate study and GIS digital mapping of water and sewer lines. The city’s matching portion is 5% or $13, 125 putting the total project at $262,500.
The 2026-27 budget includes the following in new general fund capital outlay spending:
*New Roof & Shed (Public works-building & grounds): Funded $15,000 from the general fund and $15,000 from the water and sewer fund
*Fire Protection: Training Grounds Equipment: $15,000; and New Hydrants: $30,000
Airport: New Floor for Office: $5,000 and Roof Repairs-$6,000
The 2026-27 budget includes the following in new water & sewer fund capital outlay spending:
*Fixed Asset additions: Hydraulic Hammer- $10,500; New Roof & Shed (Public works-building & grounds): Funded $15,000 from the general fund and $15,000 from the water and sewer fund; F-550 Utility Truck-$88,000; water plant renovation-$1,750,000; GIS Mapping- $225,000.
Aircraft owners who rent Hangars at the Smithville Municipal Airport will soon be paying more.
The airport has 16 T-hangars, 2 box hangars, and one maintenance hangar.
According to the proposed budget, “Beginning July 1, 2026, the monthly rates for airport facilities are established as follows:
T-Hangars $330 (up from $152 with advance annual payment discount or $166 without); box hangars $500 (up from $274.51) and maintenance hangar $700 (up from $500). The rate for tie down spaces will go from $40 to $50 per month. Any prior policy granting one month free rent for advance annual payment is repealed. Rates shall automatically increase by five percent annually in perpetuity unless modified or repealed by subsequent action of the Board of Mayor and Aldermen according to the proposed budget ordinance.