Urbana City Council approves additional purchase orders and tax budget for 2026

SHARE NOW

The Urbana Board of Control reported several items to the City Council during their regular meeting on Tuesday.

They recommended increasing a purchase order by $50,000 for sludge disposal at Cherokee Run Landfill. Due to the excess rainfall this spring, the city was unable to apply land application of the sludge from the landfill. Sludge is a term used for the biosolids that come from the solid waste in the landfill. While the maintenance department doesn’t foresee needing to use the extra cash, this cost will be covered by the Sewer Fund and was included in the 2025 budget. The council approved the increase unanimously.

The council also approved extending a contract with Motorola Solutions for three more years to maintain police car cameras, body cameras, and video storage. The city will pay about $20,485 annually from 2028 to 2031. The contract extension guarantees an exceptional service for a good price to save the city money, according to Police Chief Matt Lingrell.

Approval was made for the maintenance department to make a $80,348 purchase of a John Deere utility tractor. The tractor will be on a 3-year lease-to-own contract, with annual payments of $26,783 charged to the Capital Improvement Fund. The tractor will replace the aging 2003 tractor that is used for mowing and work at the airport and other locations throughout the city.

The Board recommended a change order adding nearly $191,000 to a paving contract with Barrett Paving Materials for more road work this year. The original contract for Barrett Paving Materials was to cover the sidewalk and curb repairs on North Main Street. When their bid came in significantly lower than expected, it was decided to increase the amount of work to be done at the same agreed price rate.  The council approved the payment in a unanimous vote.

Additionally, the Board approved a 9.5% water rate increase, effective May 15, 2025, with new rates appearing on bills starting July 1. It is the first rate increase in two years and is simply to keep pace with the increase in costs of service.

The council went on to vote on the following Ordinances and Resolutions:

  • Ordinance 4429-25: The City Council adopted the 2026 tax budget for Urbana and sent it to the County Auditor for approval. This required three readings and a public hearing, which was held in May. The tax budget is intended as a revenue budget, which sets the guidelines for how much money the council can use for day-to-day services next year. By approving the tax budget, the city accountant can turn the report over to the county for review. The council approved the ordinance with a 7-0 vote.
  • Resolution 2714-25: The Council authorized the city’s Director of Administration to submit an economic development transfer form (TREX) to support a new convenience store and gas station at 1325 North Main Street. The location is the former White’s Used Car sales lot and is determined to be the newest Marathon gas station in the area. The resolution allows the city to approve licensure for alcohol sales at the location.  It, too, was passed unanimously.
  • Resolution 2715-25: The Council approved applying for state grants and loans to fund Phase 3 of the Water Replacement Project in the Grimes Neighborhood. In a project that has been underway for nearly a decade, Phase 3 will allow for an upgrade in the main water line extending into the neighborhood. It will replace the current 6-inch water main from the city with a much better 16-inch line, improving services for the area and allowing for further development across from Grimes Field.

In its initial reading, the council discussed Ordinance 4627-25, which establishes the Urbana Northeast Area Plan as an official city guide for future planning. This will go through three readings and a public hearing. This plan is an attempt to think ahead about the development of the northeast side of the city, according to Doug Crabill, the community development manager for Urbana.

The public hearing to discuss the ordinance is June 17 at 6 pm before the next Urbana City Council meeting in the training room of the city municipal building.