Kenai approves annual budget, flat mill rate

Council members approved the budget during the body’s June 1 meeting

Kenai City Council members on June 1 approved the city’s operating budget for the upcoming fiscal year, which begins on July 1 and will end on June 30, 2023.

In all, Kenai is projecting general fund revenues of $18.6 million in fiscal year 2023, including about $9.3 million in sales tax revenue and about $4.2 million in property taxes revenue. The city’s sales tax revenue has steadily increased over the previous five fiscal years, with another projected increase in FY23.

Also approved by the city council during the June 1 meeting was a flat mill rate, or property tax rate, for city residents. Mill rates are used to figure out how much someone will pay in property taxes during a certain fiscal year. To calculate how much property tax they expect to pay, an individual must divide the mill rate by 1,000 and then multiply that by their property’s taxable value.

Council members lowered the amount of money the city will use to operate the Kenai Senior Center, as $50,000 in funding was recently pledged by the Kenai Senior Connection, Inc. for operating expenses. Council member Teea Winger sought unsuccessfully to amend the budget such that an operator position removed in fiscal year 2022 would be re-added, according to meeting minutes. The council voted 5-2 against the motion.

Included in the budget are increases in parking fees at the Kenai Municipal Airport: Daily rates would increase from $7 to $8, while annual rates would increase from $700 to $800. Kenai and Soldotna residents will be charged the same amount to drop off felines as they are to drop off canines under changes approved in the budget: $20.40 for cats and dogs, and $35.70 for kittens and puppies.

The budget also funds the city’s contributions to capital projects described in Kenai’s five-year capital improvement plan for the upcoming fiscal year, such as rehabilitation to Willow Street and Lilac Street.

The council unanimously passed the city budget as amended. The council’s full June 1 meeting can be viewed on the city’s YouTube channel.

Reach reporter Ashlyn O’Hara at

More in News

Raymond Bradbury preserves his salmon while dipnetting in the mouth of the Kenai River on Saturday, July 10, 2021. (Camille Botello / Peninsula Clarion)
Kenai River dipnetting closed; Kasilof to close Sunday

The Kasilof River dipnet fishery is reportedly slow, but fish are being caught

Silver salmon hang in the Seward Boat Harbor during the 2018 Seward Silver Salmon Derby. (Photo courtesy of Seward Chamber of Commerce)
Seward Silver Salmon derby runs Aug. 13-21

Last year’s derby featured 1,800 contestants competing across eight days

Rayna Reynolds tends to her cow at the 4-H Agriculture Expo in Soldotna, Alaska on Aug. 5, 2022. (Jake Dye/Peninsula Clarion)
Animals take the stage at 4-H expo

Contestants were judged on the quality of the animal or showmanship of the handler

Emily Matthews and Andy Kowalczyk pose outside the Center for Alaskan Coastal Studies headquarters on Friday, July 29, 2022, in Homer, Alaska. (Photo by Charlie Menke/Homer News)
AmeriCorps volunteers aid Center for Alaskan Coastal Studies

The 10-month commitment pushed them outside of comfort zones

People gather in Ninilchik, Alaska, on Friday, Aug. 5, 2022, for Salmonfest, an annual event that raises awareness about salmon-related causes. (Camille Botello/Peninsula Clarion)
All about the salmon

Fish, love and music return to Ninilchik

Alaska State Veterinarian Dr. Bob Gerlach gives a presentation on Avian Influenza Virus at the 4-H Agriculture Expo in Soldotna, Alaska, on Aug. 5, 2022. (Jake Dye/Peninsula Clarion)
State looks to outreach, education amid bird flu outbreak

Highly Pathogenic Avian Influenza is spreading in Alaska

Fencing surrounds the 4th Avenue Theatre in Anchorage, Alaska, on Wednesday, Aug. 3, 2022. Demolition will begin in August 2022 on the once-opulent downtown Anchorage movie theater designed by the architect of Hollywood’s famed Pantages Theatre. The 4th Avenue Theatre with nearly 1,000 seats opened in 1947, and it withstood the second most powerful earthquake ever recorded. (AP Photo/Mark Thiessen)
Efforts fail to save historic Anchorage theater from demolition

Anchorage entrepreneur Austin “Cap” Lathrop opened the 4th Avenue Theatre, with nearly 1,000 seats, on May 31, 1947

Mimi Israelah, center, cheers for Donald Trump inside the Alaska Airlines Center in Anchorage, Alaska, during a rally Saturday July 9, 2022. Two Anchorage police officers violated department policy during a traffic stop last month when Israelah, in town for a rally by former President Donald Trump showed a “white privilege card” instead of a driver’s license and was not ticketed. (Bill Roth/Anchorage Daily News via AP, File)
Alaska officers violated policy in ‘white privilege’ stop

The top of the novelty card reads: “White Privilege Card Trumps Everything.”

Ashlyn O’Hara / Peninsula Clarion file 
Alaska LNG Project Manager Brad Chastain presents information about the project during a luncheon at the Kenai Chamber Commerce and Visitor Center on July 6.
Local leaders voice support for LNG project

Local municipalities are making their support for the Alaska LNG Project known

Most Read