Rockford Sun

The Finance and Personnel Committee has approved the 2026 budget for the City of Rockford, keeping property tax rates unchanged for the thirteenth consecutive year. The General Fund will be reduced by $2 million compared to last year, despite a state-mandated increase of $5 million in public safety pension payments, which now total $40.5 million.

The proposed budget, which will be presented to the City Council next week for approval, focuses on maintaining essential services and supporting community priorities through several initiatives.

Key areas addressed in the budget include continued funding for public safety enforcement, prevention, and intervention efforts. These measures have contributed to a nearly 40% reduction in violent crime and a decrease in youth-related offenses over recent years.

Property taxes remain flat again this year, resulting in an average annual savings of $321 for Rockford homeowners. The budget also supports the Rockford Promise program, allowing local students to attend college tuition-free.

Annual revenue from the casino is included to support general fund expenses such as pension obligations and investments in police and fire stations. Additionally, unspent reserves from the Cannabis Fund are being redirected to temporarily increase fire staffing as more firefighters become eligible for retirement. This move extends a pilot program that adds an engine and ambulance while preserving funds for equity-focused grants.

Community programs supported by the budget include free bus rides on RMTD buses for veterans, K-12 students, and those enrolled in post-secondary or adult GED/HSE programs; ongoing replacement of lead service lines at no direct cost to homeowners; critical home repair funding for low- to moderate-income residents; and assistance with tree removal for residents with limited resources.

Funding is also set aside for economic development initiatives targeting high-risk neighborhoods, blighted home rehabilitation projects, new home ownership opportunities, arts and culture programming across the community, and historic levels of infrastructure investment throughout residential neighborhoods and thoroughfares. Internship opportunities within city departments are funded as well.

Since 2017 when municipal finance experts warned that Rockford could run out of money by 2021 due to a high tax burden on residents, the city partnered with the National Resource Network to review its finances line by line. A Financial Task Force composed of residents, financial experts, business leaders, aldermen, and union representatives provided input on improvements. As a result of these efforts, Rockford has passed eight balanced budgets while maintaining flat property taxes and investing in both infrastructure and residents.

“No budget is perfect. However, I think we can all agree that property taxes are already too high, which is why I am advocating not to increase them,” says Mayor Tom McNamara. “Our City has seen tremendous momentum - gaining national attention and renewed local pride - which reinforces our goal of making Rockford a place where residents and businesses can thrive. While tough decisions aren’t always popular, they are necessary to keep us on track and be responsible stewards of our finances.”