Wasilla city council sets mill rate; budget discussions continue

With the deadline looming to adopt a budget and report the mill rate to the Matanuska-Susitna Borough (MSB), the Wasilla City Council held a special meeting on May 28 to continue deliberations, approve several amendments to the budget, and adopting the Annual Budget for Fiscal Year 2026 (FY26).

The first task for the council was the deliberation and adoption of the remaining amendments. The bulk of the budget amendments were adopted at the regular council meeting held on May 12, 2025.

However, the council did not adopt the budget, meaning action on the Ordinance is postponed to the next scheduled meeting of June 9, 2025.

As discussions on the remaining amendments progressed for over three hours, a motion was made to set the mill rate. According to the proposed budget, the City of Wasilla mill rate is set at 0.0 mills for FY26.

Meanwhile, the council swiftly moved through voting on the remaining amendments, and added several more, although Council member Stu Graham said he had additional amendments to propose.

The city council voted to add funding for four new positions, including an additional dispatcher for MATCOM, a public safety patrol officer, a Roads and Airport position, and a Collection Systems Operations Maintenance Person.

FY2026 at a glance.

For Wasilla, revenue generated from sales tax remains the largest single source of General Fund revenue for FY2026, reported at $27,384,000, comprising over two-thirds of the city’s total operating revenue for the fiscal year.

“Developing the city’s adopted budget is one of the most important responsibilities I carry as the Mayor of Wasilla,” wrote Mayor Glenda Ledford in the budget. “It was developed with a deliberate and thoughtful approach, with honest conversations about how we best provide the core programs and services to local government. “The FY2026 budget demonstrates our commitment to community values and shared priorities.”

Wasilla has been one of the fastest-growing communities in the United States. Following the 2020 Census, the core area of the Matanuska-Susitna Borough was designated as an urban area, which means that Wasilla is required to develop and adhere to new requirements for stormwater maintenance. The designation also required the establishment of a Metropolitan Planning Organization, which will manage road improvements in our community instead of the State of Alaska. “Expanding our water and wastewater capacity and modernizing those systems for redundancy is paramount to continue quality service and enable continued economic development. The capital projects budget reflects these initiatives,” Mayor Ledford wrote.

Additionally, the record inflation rate over the past few years will significantly change wages and benefit costs.

Another notable item in the city’s budget is the requests for capital project funding. The total requested amount is approximately $21M. Approximately $6.8M of the projects relates to water and wastewater infrastructure. These projects include the design of Wastewater Treatment Plant Improvements, City street paving, new water towers, and airport expansion. The remaining CIP projects relate to train depot improvements, stormwater improvements, preventative maintenance, railroad crossing replacement, and equipment replacement.

Council member Graham thanked the staff that attended and provided explanations and answers as the council continues moving through the budget. “Thank you very much for providing the staff support and for being here to better explain things. It’s tough to make decisions about adding a person on just a few sentences or paragraph when we’re trying to decide the future of the city, so thank you for being here.”

The next regular city council meeting is set for Monday, June 9 at 6 p.m. in Wasilla.