Following weeks of preparations, discussions and negotiations, the Peoria City Council on Tuesday approved a two-year spending plan in a matter of minutes.
The council voted unanimously to adopt a balanced biennial budget with revenues and expenses at $300.6 million in the 2026 fiscal year and $324.3 million for 2027.
Council member Denis Cyr credited colleagues and staff with working diligently through the budget process to close a $3 million deficit for 2026 in the original budget proposal and remove suggested fee increases.
“It was a good team effort this year,” said Cyr in making his motion for approval.
“I too want to thank our staff leadership,” echoed Mayor Rita Ali. “You’ve done a phenomenal job and great report backs, and I think we’re on the right track here.”
It took a little more than five minutes for the council to approve the appropriations ordinance and two other required budget-related actions — abating close to $18 million in levies associated with existing debt, and finalizing a property tax levy of $34.4 million.
Finance director Kyle Cratty noted the levy amount increases by 6.56%, matching the estimated growth in property values.
“From a truth and taxation standpoint, though, the rate, however, is staying flat,” said Cratty. “This is in line with council’s previous direction on maintaining the tax rate at or below the previous year’s rate.”
Final approval of the financial plan also required passage of tax levies for five special service areas included on the consent agenda.
City manager Patrick Urich noted the 2027 portion of the biennial budget stands as preliminary estimates.
“We’ll come back next year with the revised budget for adoption of 2027 at that point in time,” said Urich.
With the budget wrapped up a week ahead of schedule, Ali canceled the planned Nov. 4 regular council meeting. The November meeting calendar already had been adjusted to avoid a regular meeting on Veterans Day, so the council won’t return to session until Nov. 18.
Men’s shelter, neighborhood center, and new school
The first item of regular business during the 90-minute meeting saw the council formally accept a $2 million pass-through grant from the Illinois Department of Commerce and Economic Opportunity that will go toward construction costs for the Salvation Army’s new emergency men’s shelter.
Community Development Director Joe Dulin pointed out the $30 million project broke ground last month, and the council’s action was finalizing paperwork to direct the funding to the Salvation Army.
“This is something that Salvation Army brought to us about a year ago,” said council member Tim Riggenbach. “So just keep that in mind as we look at the issues involved around the unsheltered, that even when you have a motivated provider, there’s a lot of time involved in getting things to the finish line.”
Next, the council took action to allow the Peoria Friendship House to develop an outdoor recreation space with a 600-square-foot pavilion on its property, adding two parcels to its existing special-use allowance.
The approval came with amendments from Riggenbach, adjusting the height requirement for a chain-link fence to 8 feet and extending the time frame for replacing non-ADA compliant sidewalks to four years.
“This project that — the fencing, the playground equipment, the pavilion — it’s about a $175,000 project, which doesn’t sound like a lot in terms of our budget,” said Riggenbach. “But when you look at a nonprofit that works with a very challenged group of people, that’s a lot of money.”
In another zoning matter, the council granted the Dunlap School District’s special-use request related to construction of a replacement for Wilder-Waite Grade School. Presented with two options, the council chose one that requires a portion of Pacific Street to be upgraded to city standards if the existing school building is demolished.
“If it remains as currently constructed, there’s no condition that comes into play with the road,” said Assistant Community Development Director Leah Allison. “And according to the Dunlap schools, they may likely just utilize that existing school for their programming.”
Other action
The council approved a request by Getz Fire Equipment to expand the non-conforming outdoor storage space at its Adams Street property, with council member Denise Jackson eliminating recommended requirements for removing a chain-link fence and replacing sidewalks.
In unfinished business, the council authorized rezoning three lots near Lincoln Avenue and Howett Street as neighborhood commercial to allow an auto repair business to expand.
One item removed from the consent agenda resulted in the denial of a short-term rental request for property on Thistle Lane. After the planning and zoning commission originally recommended approval, staff learned that Summer Ridge subdivision covenants prohibit commercial uses. That required staff to reverse the recommendation to denial.
Other items approved as part of the consent agenda included:
- Amending language in the city’s settlement agreement in the Cleve Heidelberg case;
- Entering an intergovernmental agreement with Peoria County on a $102,000 contract with Cloud Gavel for a digitized search warrant process;
- Reducing the number of members on the Transportation Commission from 11 to nine;
- Revising liquor license requirements for co-working spaces, along with granting a site application approval for the Palate Tasting Room in the Warehouse District; and
- Amending a rear yard setback requirement to allow construction of decks on certain properties in the Villas at Mandalay Woods subdivision.
Five proclamations recognized the 250th anniversary of the U.S. Marine Corps; the 100th anniversary of the South Side Mission in Peoria; Community Foundation Week; Hindu Heritage Month; and Native American Indian Heritage Month.
