The Town of Preston Commissioners discussed the proposed FY2026 budget during a regularly scheduled workshop on Mon., April 28. The business was conducted after the announcement of the election results in which Scott Messick was voted in to take Nelson Anderson’s seat, who had termed out of the position.
The Commissioners decided to not increase the current property tax rate of $.36 per $100 assessed value. Town Manager Amber Korell recommended leaving the tax rate alone for now, considering she has balanced the budget which shows a projected surplus with the $.36 rate. Commissioner Daniel Mulford said that he thinks the discussion on whether to raise the tax rate can be pushed to next year for FY2027.
The proposed FY2026 budget includes proposal to increase water and sewer fees. In FY2025, water and sewer fees increased by 6%, and capital recovery and water replacement increased by 15%. For FY2026, the Commissioners are considering a proposed 8% increase across the board for water and sewer, capital recovery, and water replacement. For reference, this would bring Preston’s minimum water bill up from $266 to $286. The increase would generate a surplus of $11,000 for the water and sewer budget, which Korell said she would, “like to be able to put back into water maintenance and repairs, as the [Public Works] guys have found very many valves that need to be replaced along Main Street and some other water infrastructure that needs some repairs.”
Korell also said that the cost of running and maintaining the new wastewater treatment plant has been more than originally budgeted, especially after the economic impacts of the COVID-19 pandemic and inflation. During the report on the annual audit in February, the contracted third-party auditor suggested that the Commissioners begin thinking about raising these fees to cover basic upkeep of the plant and depreciation over time. According to Korell, all of these factors went into the proposal to raiser the water and sewer rates for FY2026.
There is a public hearing on the budget on May 20, at 6:30 p.m. at the Town Meeting Room at 105 Backlanding Road, Preston, MD 21655. Town Commissioners will vote on the budget at their regular meeting on June 2. If the budget passes as proposed, the 8% increase will begin with September 2025 water and sewer bills.