- Murray Mayor Brett Hales proposed a budget with a 9.8% property tax hike.
- The tax increase aims to fund police, fire, infrastructure and employee benefits.
- Final budget approval depends on City Council review and public hearings later.
MURRAY — Murray Mayor Brett Hales has unveiled a budget proposal he says will keep the city strong, competitive and poised for the future, with boosts to public safety, retaining city employees and infrastructure improvements.
But it comes with a potential cost to residents.
"We are looking at a 9.8% property tax adjustment — and I know that's never an easy conversation," Hales said during Tuesday's City Council meeting, where he presented the tentative 2026-2027 fiscal year budget.
The city aims to generate $1,224,110 by raising its current property tax rate from approximately $12.4 million to $13.7 million, according to information on the proposed increase on the city's website. The added revenue would go toward hiring a new police officer; additional overtime for police and the fire department; wage increases for the city's police officers and firefighters; and increases in required health insurance premiums for all general fund employees.
"Key factors driving the potential property tax increase include higher insurance costs, state-mandated firefighter cancer coverage, and the need to stay competitive with police and firefighter wages across Salt Lake County, along with modest cost-of-living adjustments and staffing tied to new state laws," according to a statement from city officials sent to KSL.
Funds would also be used for investments in parks, recreation, arts and infrastructure needs, among a host of capital improvement projects.
"At the end of the day, the services we depend on aren't delivered by dollars and cents. They're delivered by people — this budget ensures we take care of our people," Hales said.
For the average Murray homeowner, the proposed increase would amount to approximately $45.80 per year or $3.80 per month. A business owner would see an increase of just under $83.
The proposed hike would not affect residents' overall tax bills, only the city's portion, budget director Brenda Moore said.
Dollar figures of the revenue needed to accomplish the mayor's requests could change as the City Council reviews the proposed budget. A more accurate estimate of the intended tax rate increase will be determined after the Salt Lake County auditor knows the amount of revenue from new property tax growth, sometime in June.
Murray says if the tax increase is not approved, the city won't be able to hire a new police officer or offer pay increases to keep up with market adjustments. Departments that operate out of the city's general fund, such as police and fire, could also face budget cuts.
The City Council approved a resolution to consider the proposed budget at its Tuesday meeting and will review it over the coming weeks.
The council will make its final decision on the matter later this year, after required public hearings.
A full breakdown of the Mayor's proposed budget can be found on the city's website.
