The Blaine City Council approved the city’s 2027 budget and a 1% property tax increase at its regular meeting on Monday.
The budget, approved unanimously, totals about $52.9 million in expenditures, a 19% increase over its 2026 budget, which allocated $44.3 million when passed in November 2025.
The bulk of the increase in spending is due to several capital improvement projects the city has planned in 2027, said city Finance Director Jennifer Heiner.
One of the largest increases in spending comes from capital projects, which includes $2.8 million more for transportation capital improvements over 2026’s budget. The city projects that it will spend $6.9 million on transportation capital improvements in 2027.
Two more spending increases are in the water and wastewater departments, which have allocations of $6.95 million and $10.6 million, respectively. These increases will support infrastructure upgrades.
The water fund spending has increased $2.5 million over 2026, and the wastewater funding is $3.6 million more.
The city’s general fund allocation increased 6% from 2026, rising to about $10.7 million.
The largest reduction in spending from 2026 to 2027 is a $2.7 million decrease in the city’s electric fund.
The city is projecting $49.2 million in revenue in 2027 — about $3.7 million less than its projected spending. The city will tap on its $34.9 million in reserves across various funds to cover the difference, leaving it with a projected balance of $31.2 million at the end of 2027.
In addition to its 2027 budget, the council also approved a 1% property tax levy for 2027. The council approved the levy by a vote of 5-1.
Passing the 1% property tax levy is standard for the city, as it approves it nearly every year, Heiner said.
The levy will generate an additional $16,300 for the city, according to the council’s meeting documents.
