FY27 Proposed Budget

organizational support from the General Fund ($250,000) to LOST and the endowment. The endowment can also grow through private contributions and will create a lasting, sustainable funding source for Iowa City’s important cultural institutions.  $213,750 is allocated to offset the contractual support the City provides with Johnson County SEATS. SEATS expenses are expected to continue growing faster than transit revenues. This trend places strain on our budget and is one factor that will make maintaining fare free service difficult in years ahead. LOST funds will become one more piece of the ongoing effort to sustain this popular public service.  $206,250 is provided for public safety partnership support. This would provide funding for the two existing CommUnity mental health liaison positions in the Police Department and expand for the hiring of a third liaison. In addition, $75,000 could support other new initiatives, such as a crisis councilor at the Joint Emergency Communication Center (JECC), mobile crisis field mediation or other similar interventions. Overall, this activity provides $131,250 in General Fund relief.  $142,500 to support strategic economic development initiatives. The three targeted programs include two ARPA pilots, namely the childcare wage enhancement program ($75,000) and pre-apprenticeship program with the University of Iowa Labor Center ($37,500). The remaining $30,000 would fund placemaking grants for Self-Supported Municipal Improvement Districts, which would shift from the General Fund to provide relief. This budget also establishes a Partnership Opportunity Reserve with $45,000 allocated this first year. The aim of the reserve is to build funding for periodic capital grants, similar to the public facility funds awarded to Dream City, Neighborhood Centers of Johnson County, and the Free Medical Clinic for their substantial facility projects undertaken with ARPA funding. It is anticipated that such grants could be offered every five to ten years depending on future funding allocations to the reserve. The 25% of anticipated revenues not budgeted would also be added to this fund if estimated revenues materialize. However, in subsequent years, an increase of 25% could be allocated to all outlined programs in this LOST category.

Public Infrastructure & Facilities

The final 10% of LOST funding is allocated to public infrastructure and facilities, estimated $1.4 million in FY 2027. This budget banks this amount in anticipation of larger needs in years ahead, which could include larger facility projects, major roadway or bridge projects, and park and public space enhancements. In the meantime, accrued balances in this line item can be used to assist with unexpected infrastructure or facility emergencies and approved project shortfalls.

Implementing City Council’s Strategic Plan

City Council’s Strategic Plan outlines the values, impact areas, and resources needed to execute the identified goals. Embodied in every element of the Strategic Plan, and within this budget, are three values that represent the lens through which we approach our work and the four areas of community impact in which the work will occur. The plan was reviewed and updated in December 2024 to reaffirm

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