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City Council · August 17, 2026
Princeton Council Approves Debt Rate, Withdraws Other Tax Items
Princeton City Council moved forward with one part of the city’s tax discussion at its August 17, 2026 special meeting while withdrawing several other items. Council approved a higher debt service tax rate and later withdrew items K2 through K5 by consensus.
Debt Tax Rate Approved In 3-2 Vote
Council approved Ordinance 20260817 setting the debt service tax rate at $0.205 per $100 of taxable value in a 3-2 vote. CFO Kelly Wilson said that rate would avoid using $1.7 million in reserves and provide debt service capacity for the planned second tranche of general obligation bonds authorized in the 2023 parks bond election. She also said this item addressed the debt side and not day-to-day operations.
Other Tax And Budget Items Were Withdrawn
After discussion and an executive session, council withdrew items K2 through K5 from the agenda by consensus. During discussion, the mayor said he wanted residents to better understand what they would get for the tax rate before asking for more support.
Public Hearing Was Held After Earlier Debate
Council first discussed whether to withdraw the property tax public hearing, then decided to hold it. Residents were allowed to speak during the hearing. The discussion included questions about timing, legal requirements, and whether enough information had been provided to residents about the proposed tax rate.
CFO Described Debt Capacity Concerns
Wilson told council that the city’s lower tax rate had restricted debt capacity for future obligations. She said the proposed debt rate would help with current obligations and the second tranche of the parks bonds, and that future projects would require continued review of tax rate capacity and financial assumptions.
Discussion Included Future Facilities And Operating Costs
During public comment and council discussion, speakers raised questions about how future facilities would be operated. A resident said the rec center and public safety building would need personnel, equipment, and daily operations funding. Later, the CFO said the debt item under discussion was only for selling debt to build infrastructure and that operations would come from the M and O side.
Residents Asked For More Transparency
During public comment and the tax hearing, residents urged council and staff to explain the numbers more clearly. Speakers called for town hall-style meetings, a multi-year financial outlook, and closer review of budget details. One resident also said residents deserved more than simplified comparisons about the tax impact.
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