Manhattan city commissioners will set the 2025 budget and mill levy rate at their weekly meeting Tuesday evening.
The commission last month approved a maximum levy increase of 52.929 mills, though members said they might lower it. That mill levy, if passed, would exceed the revenue-neutral rate, which is the rate at which the city would generate the same property tax revenue as the previous year using the current year’s assessed valuation.
In order to exceed the revenue-neutral rate, state law requires taxing entities to hold a public hearing before formally adopting the rate. In Manhattan, that hearing is scheduled for Sept. 3, the same day as the public hearing for the budget.
A mill levy rate of 52.929 mills means the average homeowner would see an increase of up to 13.6% in their taxes in 2025. The owner of a $100,000 home in 2024 would have paid $562.68 in taxes that year. That person in 2025 would pay $639.12 in city taxes on a home now worth $105,000, based on an average increase of 5% for existing single-family homes in Riley County.
Officials have said the increase on the mill levy — which was 49.9 mills in 2024 — is intended to help close the $4 million gap between expenditures and revenues in the general fund.
City staff members said further information about the 2025 mill levy and budget will be available on its website by the end of the day Monday.
Per state statute, the city will publish notice of the public hearings in The Mercury. The city commission will formally adopt its 2025 budget and mill levy after the public hearings.
Commissioners on Tuesday also will discuss water, wastewater and stormwater funds to provide more direction on the 2025 budget.
Tuesday’s meeting will take place at 6 p.m. in the city commission room at city hall.
