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Orem City Council Passes New Budget and Compensation Ordinances

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A close-up of an official ledger and a fountain pen on a wooden desk, representing municipal budgeting and financial planning processes in Orem city government.
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The Orem City Council has passed several ordinances and resolutions regarding the city budget, compensation increases, and tax rates. These measures include a tentative budget for fiscal year 2026-2027 and the creation of a special revenue fund for public safety.

Key takeaways

  • Orem City Council adopted a tentative budget for fiscal year 2026-2027.
  • New ordinances enact compensation increases for specific city officers.
  • The council proposed an increase to the property tax rate and updated various municipal taxes.
  • A resolution was passed to create a special revenue fund for public safety services.
  • The council elected to pick up retirement contributions for certain Tier 2 public safety and firefighter hybrid employees.

The Orem City Council has enacted several new ordinances and resolutions concerning municipal compensation, the upcoming fiscal year budget, and tax rate adjustments.

New compensation and budget ordinances

Ordinance O-2026-0010 enacts compensation increases for specific city officers, while Ordinance O-2026-0011 approves and adopts a tentative budget for fiscal year 2026-2027.

Details of the 2026-2027 budget

The adopted budget for the 2026-2027 fiscal year includes the adoption of compensation programs and a fees and charges schedule. The ordinance also proposes an increase to the property tax rate and adopts several taxes, including the franchise tax, municipal energy sales and use tax, telecommunications license tax, and use tax transient room tax, as well as E-911 fee rates.

New public safety revenue fund

Additionally, Resolution R-2026-0007 approves the creation of a special revenue fund for public safety services pursuant to Utah Code Section 10-6-133.4. The City Council is considering dedicating the general operations portion of Orem's property tax levy to fund the new public safety special revenue fund.

Retirement contribution changes approved

The council also passed Resolution R-2026-0008, which elects to pick up URS members retirement contributions for Tier 2 public safety and firefighter hybrid employees.

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