FY25 Proposed Budget

Bicycle and pedestrian infrastructure improvements will be pursued with the implementation on numerous Capital Improvement Program projects including the replacement of the Gilbert Street Bridge and reconstruction of Dubuque Street will provide safer pedestrian accommodations in heavily traveled areas of the community. Sidewalk infill, curb ramp, and transit stop improvement projects will continue to make our streets more accessible for all users. The City will begin design for the Highway 6 bicycle and pedestrian trail extension project between Broadway and Fairmeadows in Fiscal Year 2025 in anticipation of that work being constructed in 2026. This budget also begins to lay the financial foundation for fare-free transit service after the current pilot project sets to expire in the summer of 2025. The first step is the implementation of several parking related parking fee increases that will support enhanced cleaning, a more aggressive annual parking deck maintenance program and fare-free transit. Fee increases include moving to $2/hour in all parking decks (first hour free is maintained), and on-street meters increasing to $1.50-$2.00/hour depending on location. In addition, several parking related citations will be increased. The combined impact of the parking fee increases is approximately $2.9 million. Of that amount, approximately $1.5 million is targeted for continuation of the fare-free transit program. In Fiscal Year 2026, staff will also recommend a 1% utility tax increase, which would be the final revenue stream projected to be needed to maintain the fare-free transit service. The long term commitment to fare-free transit, combined with the planned construction of the new transit building will ensure our community has one of the most robust and accessible transit systems in the country. Economy: Fiscal Year 2025 funding to support Greater Iowa City, Inc. will ensure that Iowa City remains in active partner in regional economic and community development. Additionally, this budget continues to provide $25,000 to support a BIPOC Business Accelerator Program and $115,000 in Opportunity Funds set aside for small business grant programs and technical assistance needs that may arise. Community development funding is also provided to support local arts and cultural and entrepreneurial support agencies. Consistent with the Strategic Plan, General Fund dollars and American Rescue Plan Act monies are budgeted to support priority investments in partnership with the Downtown and South of Six SSMIDs. Previous ARPA obligations which advance the City’s strategic economic action items will continue to be implemented in Fiscal Year 2025. This includes $4 million to support the regional Inclusive Economic Development Plan and $750,000 to support the Johnson County childcare wage supplement program. Safety & Well Being: Several strategic action items are advanced in the Safety & Well-Being category through this budget. The City’s Aid to Agencies grant program is increased by 3% in the Fiscal Year 2025 budget and additional funds are also budgeted for the aforementioned winter shelter agreement with Shelter House. American Rescue Plan Act funds will be invested in capacity building projects for the Free Medical Clinic and Neighborhood Centers of Johnson County, both of which provide critical well-being services to our community. The Fire Department budget contains an extra $300,000 boost in the staffing contingency line as the City continues to prudently plan for the opening of a future fifth fire station. A Civilian Data Analyst position is added in the Police Department. This position will support numerous efforts,

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