Graham Council Eyes Three-Cent Property Tax Increase for Fire, Parks, Paving

The City of Graham’s Fiscal Year 2025 budget document lists a proposed property tax rate of 65.5 cents per $100 of assessed valuation and characterizes an increase of 3.14% aimed at meeting rising service costs, while separate council reporting and local coverage show different figures and readings on the same issue. City budget pages filed as part of the FY25 packet show total funding across all funds at $34,851,688 and identify $8.23 million in potential general capital grants or other capital funding.

The FY25 budget summary allocates $1,409,700 for debt service, or roughly 4% of total funds, and lists authorized staffing at 87 full-time positions, 23 part-time or seasonal positions and 110 total budgeted positions with 94.5 full-time equivalents. The document also states property taxes make up 41% of General Fund revenues and projects property tax receipts rising from a FY24 budgeted $3,245,874 to $3,660,084 in FY25, an increase of $414,210 or 13%.

That official budget language sits alongside two other, conflicting figures in public reporting of council actions. City reporting published Feb. 26, 2026 records that city leaders signaled a consensus to include a three-cent increase as part of the budget strategy specifically to fund a new fire substation, a fire truck, parks improvements and paving. Local coverage in The Graham Leader, meanwhile, reports the Graham City Council approved the first of three readings of a property tax change at $0.69 per $100 valuation during a meeting identified as Thursday, July 17, representing an increase of $0.035 from a stated current rate of $0.655 per $100 and described there as a 5.34% change.

The Graham Leader account notes the $0.69 figure is “just under the voter approval tax rate of $0.690478 per $100 valuation,” the threshold above which the city would be required to hold an election to exceed without voter approval. That same coverage records the council approved the first reading of the proposed fiscal year 2025-2026 budget and that two additional readings remain required before adoption.

Council discussion on related utility rates also appears in local reporting. City Manager Eric Garretty is quoted saying, “If this ordinance (for the water and sewer rate increases) is not ultimately adopted, the impact is that the city will be forced to delay infrastructure replacement, will be unable to retain qualified operators to maintain the system, and will be unable to conduct required maintenance of the system.”

The multiple, explicit figures, a FY25 budget document listing 65.5 cents, city reporting pointing to a three-cent increase to fund a fire substation and other capital needs, and a first-reading report at 69 cents, remain on the public record. The council has signaled capital priorities that include constructing a fire substation, purchasing a fire truck, parks projects and street paving, but the final adopted tax rate will depend on the outcome of the remaining readings and any formal ordinance the council votes to adopt.