Wilmington City Council approves first reading of FY26 budget

Published on June 04, 2025

At its June 3 regular meeting, Wilmington City Council voted to approve the first reading of the FY26 city budget. The second, and final, reading and vote will occur at the June 17 council meeting. The FY26 budget takes effect on July 1, the start of the city’s new fiscal year. The $306.6 million balanced budget is guided by the city’s long-term priorities outlined in the city’s vision, mission, core values, and five-year strategic plan. These focus areas include support for workforce development, public safety, infrastructure, and housing affordability, while maintaining critical services and managing costs responsibly.

Highlights of the FY26 budget include:

• $8.6 million in a competitive compensation strategy designed to attract and retain skilled employees
• More than $30 million in capital investments to improve and maintain Wilmington’s essential infrastructure
• $2.3 million to fund a range of affordable housing initiatives. These include gap financing to support new developments, homeownership assistance, and safety and health-based home repairs.
• More than $400,000 allocated to continue police equipment and service contracts
• New funding to cover cancer screenings for all uniformed firefighters
• Following a countywide revaluation conducted by New Hanover County, the median residential home value increased from $238,300 to $364,408. To maintain revenue neutrality, the city set the FY26 tax rate at $0.2825 per $100 assessed valuation. This includes a slight rounding adjustment from the calculated neutral rate of $0.2815. The property tax reevaluation adjusted the Municipal Services District (MSD) tax rate from $0.0647 cents to $0.05 per $100 assessed value. 

The recommended budget is available online at www.wilmingtonnc.gov/budget.