The Polson City Commission adopted the city’s fiscal year 2026-2027 budget during Monday night’s meeting on Aug. 17, which includes an estimated $11.18 million in revenue funds and approximately $12.49 million in budgeted expenditures.

Interim City Manager George Simpson said the budget reflects the city's continued “conservative approach” to finances and places it in a “healthier fiscal position” than in previous years. 

The city has continued this conservative approach as Montana lawmakers continue to change the rules around taxable values. During Monday's meeting, Finance Officer Jodi O'Sullivan said tax revenue was “definitely a lot better” than she and Simpson had anticipated. 

The commission also approved the general mill levy and permissive medical levy, which helps pay for employee health insurance. The commission further approved the municipal service levy, which helps fund public safety.  

This budget restores the patrol car cut from last year’s budget and aims to put the Polson Police Department back on its typical replacement schedule. 

A press release from Simpson stated that this budget reflects a deliberate effort to “control spending, preserve financial flexibility and reduce reliance on reserve funds.”

“We are in a healthier fiscal position than we were last year,” stated Simpson. “That is not because we are assuming that revenues will continue to grow or that there won’t be challenges ahead. It is because we approached this budget conservatively and were able to use less of our reserves than we have in previous years.”

According to the press release, this budget also includes substantial working capital across the city’s enterprise funds, as the city has infrastructure projects underway in the Public Works Department and at the Polson Bay Golf Course. 

“We want to be prepared for what we know and what we don’t know,” stated Simpson. “There are a number of factors outside the city’s control, particularly as we look toward the upcoming legislative session. Maintaining a conservative fiscal plan gives us more flexibility to respond when circumstances change.”

More details will be provided in next week’s edition of the Lake County Leader.