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HARTINGTON — The City of Hartington is tightening its belt in the coming year, reducing spending after a period of major projects while boosting cash reserves and keeping essential services steady.
The 2025-26 budget, which will be voted on at a special meeting Friday at noon, calls for total disbursements and transfers at $3.82 million, a sharp reduction from the $5.98 million budgeted in 2024-25.
Spending also comes in well below the $4.59 million in actual disbursements for 2023-24.
Much of the difference comes from a drop in capital improvements, which totaled more than $1.1 million in 202425 but are budgeted at only about $71,700 for 2025-26.
The city purchased some big ticket items last year, so they won't need to budget for these items this year.
In 2024, the city built a new city shop and purchased a new garbage truck and helped purchase a fire truck and a ambulance. The city also completed some paving projects.
The city is also seeing reduced debt service costs, which decline by more than $160,000 compared to last year.
Despite the spending cut, Hartington is increasing its cash reserve to $1.95 million, up from $1.73 million a year ago. That leaves the city with $5.77 million in total resources available, compared to $7.71 million last year. Officials said the higher reserve strengthens financial stability.
Tax Requirement
The city’s property tax requirement will increase to $809,319, up from $731,036 in 2024-25. Nearly all of the increase is going toward the city’s general fund, which rises from $516,036 last year to $594,319 in 2025-26. The bond levy stays level at $215,000.
For taxpayers, the levy works out to about 65.9 cents per $100 of valuation. That equals roughly $659 in city property taxes on a $100,000 home, or $1,318 on a $200,000 home.
In practical terms, a $100,000 homeowner will pay about $51 more per year in city property taxes, while a $200,000 homeowner will pay about $102 more per year.
The city’s budget documents show the math behind the increase: 2024-25 Property Tax Requirement: $731,035.79 2025-26 Property Tax Requirement: $809,319.32 Difference: $78,283.53 Percentage Increase: $78,283.53 ÷ $731,035.79 = 10.7% The budget shows reduced funding in several departments compared with last year.
General Government drops from $884,000 to $647,000. Public Works – Streets falls by about $140,000, reflecting fewer one-time projects.
Community Development shows the steepest reduction, from $554,000 to just $25,569.
Public Safety – Police and Fire remain steady, with small decreases after one-time equipment and debt expenses.
Culture and Recreation sees a modest increase, from $449,000 to $475,000, ensuring continued investment in parks and community spaces.
The budget hearing was held Monday at City Hall, giving residents a chance to comment on the city’s financial plan. No one from the public attended, however.
