SALAMANCA — Common Council members Feb. 11 adopted a tentative budget that includes $200,000 less in spending and a 2% increase in the city property tax rates.

The $12.82 million spending plan includes a tax levy of $964,120 and nearly $5 million in estimated revenues. The tax rate of $67.03 per $1,000 of assessed valuation is up from the $65.71 rate adopted for the current spending plan in 2025.

Additionally, the city is counting on $4.5 million in state aid in lieu of casino compact payments. Just shy of $2.4 million will be coming from the city’s appropriated fund balance.

A public hearing on the tentative 2026-27 budget was scheduled for Wednesday. The council is expected to vote on officially adopting a final budget at its next regular meeting on Feb. 25.

In other business, the council accepted the low bid of $245,451.40 from Amherst Paving, Inc. for the Wildwood Avenue milling and resurfacing project.

The project’s scope includes milling and repaving the roadway between Main Street and the section of Wildwood Avenue that carries Route 417 to the Clinton Street Bridge, roughly half a mile.

The council also authorized the purchase of 116 Fawn Ave. for $25,000 from Sandra Abrams Hill. The roughly 1.5-acre parcel includes a one-story, 2,370-square-foot building, according to Cattaraugus County real property records.

The property is located directly next to the Firefighters Grove, a picnic pavilion owned by the Salamanca Permanent Firefighters Benevolent Association, and 100 feet down the street from the Bill Flanigan Memorial Ice Pond, which is also owned by the city.

Also passed by the council was an intra-fund agreement allowing the Board of Public Utilities’ Electric Department to borrow a shortfall amount of $1.7 million from the city to pay outstanding electric bills. The agreement requires the BPU to repay the loan to the city within 600 days, or by November 2027, with a 3.55% interest rate.

In the resolution, it was noted that the BPU experienced a recent demand for electricity arising from cold weather during December and January. The additional market costs for the purchase of electricity by the BPU exceed the ability of the BPU to pay the charges pending receipt of billed customers’ monthly payments.

The council also authorized the creation of a full-time animal care and operations coordinator position with a wage of $32,000. The coordinator would oversee the welfare and management of animals under the municipality’s care, cominging hands-on animal care with administrative responsibilities, supporting the city’s dog control officer and ensuring compliance with local and state regulations.