On Tuesday, Dec. 2, the city of Oneonta Common Council adopted its 2026 municipal budget of $32,873,496 — an increase of 9.76% from the 2025 adopted budget, including a 6.3% tax levy increase.
Under the 2026 budget, a property with a taxable assessed value of $100,000 will see a tax bill of $1,191.
The council voted 7-1, with Don Mathisen, D-Eighth Ward, voting no. At previous meetings, Mathisen stated his opposition to a tax levy increase of above the tax cap. He said Tuesday that the budget the council would be voting on was $32.9 million, a four-year increase of 21.6%, and he does not see how the city can spend that much.
In two separate votes, the council also narrowly approved increasing sewer rates and a water rate schedule for the 2026 year, voting 5-3 on each.
The council failed to approve the water rate schedule and sewer rates for the 2026 budget during a special meeting Nov. 25, when Scott Harrington, R-Sixth Ward, and Kaytee Lipari Shue, D-Fourth Ward, voted no to both motions. Len Carson, R-Fifth Ward, and Shannon McHugh, D-Third Ward, were absent. Lipari Shue and Harrington were joined by Carson in voting no Tuesday, with all other council members voting yes.
The minimum payment in the 2026 water rate proposal was $265 for those who use 37,000 gallons or less a year. It offered a $12 increase in minimum, with 10% increase for Steps 2 to 4 of water usage and a 2% increase thereafter.
The 2026 sewer rates proposal provided a $10 increase in minimum and 10% increase in Steps 2 to 4 of gallon consumption, with 2% thereafter, according to Daily Star archives.
At Tuesday’s meeting, Harrington and Lipari Shue restated their concerns with the rate increases. Harrington said that he did not feel comfortable with the sewer and water rate increases in addition to the large tax levy increase put forth in the budget. He said he supports the tax levy increase over the increase in water and sewer rates.
Lipari Shue said she would like to put forth a similar increase to last year, with the first step of water usage being a lower increase. According to Daily Star archives, percent increase in rate varied after the minimum water usage in 2025. Virginia Lee, the city’s finance director, said more than 51% of customers hit only the first step of water usage in the table, providing $555,000 of more than a $3.5 million budget, with a small number of customers providing 45% of that budget.
“The goal of the rate structure is to be able to support operations and also future construction,” Lee said.
She said it is $2 million per mile of water main replacements, and Public Works Director Chris Yacobucci is looking to tackle a mile to two miles every year. She said this is why it is important to get the rate structures in place to fund repairs, as a lot of the infrastructure is more than 100 years old.
Cecelia Walsh-Russo, D-Second Ward, said what she “found compelling” about Yacobucci’s statements at the special council meeting was the potential for raw sewage to leak into the fresh water source during a large storm “without adequate infrastructure.” The city averages six to 12 water main breaks a year.
“I think that is what really got me very concerned about the long-term effects,” Walsh-Russo said. “Nobody on this council wants to raise rates, however, I also am deeply concerned about the quality of our infrastructure and the longevity of it.”
Elayne Mosher Campoli, D-First Ward, said that in addition to people voicing concerns about rising fees, she has heard numerous concerns about the environment. She said this is an extension of those conversations where the council could make a positive impact on its infrastructure and reduce negative environmental effects.
Later in the meeting, Lipari Shue motioned to “amend the 2026 budget as adopted to decrease the contingency appropriation and also decrease the appropriated fund balance by $25,000.” Lee said it was $25,000 was approved to add into the budget for cybersecurity insurance. To fund that, the council agreed to do a $350,000 tax levy instead of a $300,000 tax levy. After modifying what had been cut from the budget and correcting an error, Lee said she put the difference into contingency.
“We kept the budget at the same size instead of saving it and reducing the budget by $25,000,” Lipari Shue said. “I would like to reduce the budget by $25,000, and put that money into our savings account and plan not to spend it.”
The motion passed 5-3, with Mosher Campoli, Walsh-Russo and Forster Rothbart voting no.
In a later vote to adopt the tax levy for the city and library, while also approving the re-levies for unpaid bills, the resolution put forth stated that “the real property tax rate per thousand dollars of taxable assessed value based on the above levies is estimated to be $11.9110 for City general purposes.” The resolution passed 7-1, with Mathisen voting no.