CRESWELL – While neighboring cities grapple with having to make deep budget cuts to their services and operations, the City of Creswell – which has earned the Government Finance Officers Association’s Distinguished Budget Presentation Award for 10 consecutive years – has made it through budget season business as usual.
Finance Director Jim Piper – who has been with the City for nearly 11 years – presented the budget to the council with resolutions approved by the budget committee at a May 19 meeting, and last week, the Creswell City Council approved the $37 million budget for the 2026-27 fiscal year. There were no public comments made during the allotted period.
“I think of it as a puzzle and putting all the pieces together to make a document that is communicative,” Piper said. “It’s a tool that the council can use for policy, and that the city has to follow through with the adoption.”
Creswell’s key strategic priorities for fiscal year 2027 are aligned with the Creswell Strategic Plan 2022 through 2027, Martorello stated in a memo to the council. These priorities include maintaining a robust and sustainable infrastructure, safety for all, community education and outreach, economic development, and affordable housing.
“The financial plan for the City is balanced, and it is the link between public policy, values, and available resources,” said Vincent Martorello, city manager.
Various resolutions related to the 2026-27 budget were approved, including:
- Increasing sewer user fees by 7.5% – The Water Rate Advisory Committee determined that in order for revenues to cover expenses in the Sewer Fund, and to meet both debt service requirements and replacement cost of infrastructure, a 7.5% increase to sewer rates would occur beginning July 1.
- Increasing public safety fees by 6% – Increasing the City’s Public Safety Fee from $19.75 per month per unit to $20.95 per month per unit to cover the additional costs of the contract with the Lane County Sheriff’s Office for policing services.
- Increasing airport lease rates by 2.7% – An adjustment to the basic rental fees for land and hangar leases at Creswell Airport Hobby Field will increase using a consumer price index (CPI) of 2.7%. Federal Assurances for Airport Sponsors sets compliance requirements stating that fees should be increased for the period July 1, 2026, to June 30, 2027, by a percentage equal to the increase or decrease in the CPI.
- Declaring the City’s right to receive state shared revenues like taxes on tobacco, cigarettes, liquor, and gas. According to the Oregon Revised Statutes, the council must hold a public hearing and formally adopt a resolution accepting state shared revenues for the city to receive that money.
Other resolutions included extending workers’ compensation to city volunteers and a 3% cost-of-living adjustment for pay scales.
Piper said two challenges struck him this year when preparing the budget: the Public Safety and Wastewater Sewer Fund. He explained that the 6% increase in public safety fees is because of a 12% increase in the contract with the county sheriff.
“That posed a real challenge for the city to absorb,” he said.
The city’s Wastewater Sewer Fund was challenged by the upcoming project to connect to a regional wastewater facility. According to a January 8 article in The Chronicle, Creswell is exploring the construction of a pipeline and pump station to connect Creswell, via Goshen, to the Metropolitan Wastewater Management Commission (MWMC) system.
Piper said the project will cost around $50 million with an operational deadline of 2031.
“If we had a shorter timeline to get it done, the rates wouldn’t have to increase more drastically. Unfortunately, we have a little bit of time to get where we need to be,” Piper said.
Small changes from the previous fiscal year are noted, including a 0.08% increase in personnel services due to COLA and increased medical benefits. Materials and services have also increased by around 1%.
Inflation and the retention of a proficient workforce continue to pose fiscal challenges and constraints for the City and businesses. As of March 2026, CPI in the Western Region is 3.1% and trending upward. According to the U.S Bureau of Labor and Statistics Employment Cost Index, released Feb. 10, 2026, civilian worker and private industry wages increased 3.3% over the prior year, while state and local government wages increased 3.3%.
“Despite these challenges, the City of Creswell has avoided overleveraging the funds. For all funds of the City, the ending debt service reserves meet the requirements set by lenders,” Martorello wrote in the budget message.
Measure 50 has been impacting budgets across the board, including Creswell’s. Under Measures 5 and 50, total property tax revenue is capped and frozen at its 1996 level, and growth is limited to 3% per year. Over time, this has created a gap between the assessed value and the real market value.
The ending fund balance for fiscal year 2027 is projected to be $1.4 million higher than that for fiscal year 2025-26.
“Things were pretty good. I mean, fiscally we’ve been conservative year over year, so that’s helped,” Piper said.
