The 2025 proposed city of Valparaiso budget includes an across-the-board $3,000 raise for all qualifying city employees, as a one-time increase incentive.
After forgoing raises last year, the mayor and city council members also will receive $3,000 increases which would amount to annual stipends of around $13,000 per council member and move the mayor’s annual salary to a range of around $100,000.
“All city employees deserve a reasonable wage and benefits,” City Administrator Bill Oeding said while presenting the budget with City Clerk-Treasurer Holly Taylor for the first reading, which passed unanimously, and public hearing during the four-hour Sept. 23 Valparaiso City Council meeting.
“When we had our wage study, it was our goal to show ranges and get everyone at least to their mid-pay level, and from what we see now, that has happened as we adjust for the increase in the cost of living.”
The $56 million proposed budget is up from the previous $52 million budget because of increased expenses. Funding to the Valparaiso Police Department was increased by $190,000, which will provide for an additional police officer to be hired in 2025, with the average annual starting salary for officers between $55,000 and $61,000.
The Parks and Recreation Department also requested increased funding to boost the wages of part-time employees to aid with worker retention.
“Retail stores, fast food restaurants are all paying higher hourly amounts compared to what we’ve been paying for our parks and recreation help, which was around $12 an hour,” Taylor said.
“With our increase, at least we are getting now and putting these part-time employees more in the $14 range. Parks is a big department with about 35 full-time staff who will benefit from the annual one-time increase.”
Oeding said having the Valparaiso Parks and Recreation Department add three full-time employees assigned to Memorial Opera House also added to the larger increase of more than $1 million for the park department budget request of $5,875,205 in 2025 compared to a 2024 budget of $4,755,485.
Oeding and Taylor calculate a slightly decreased tax rate for 2025 to $1.3635 (per $100 of taxable property) compared to $1.4457.
Mayor Jon Costas lauded city officials and departments for a continued trend of the city tax rate decreasing, noting the tax rate has gone down by 23% in the past five years.
Council Member Barbara Domer, D-3rd, asked for an itemized allotment of money categorized for road paving projects in 2025 as pooled from various city funds and revenue generated from fees, such as the garbage and trash service fees.
“I want to specify that how our budget works is that we typically want to use the money from all of the other specific funds first before we ever dip into the general fund,” Taylor said.
“And the reason being for that is because the general fund pays for a lot of people’s salaries and benefits so I try to protect the general fund until it’s necessary. So I will get you the exact amount of what we will dedicate for anticipated paving projects,” she told Domer.
Philip Potempa is a freelance reporter for the Post-Tribune.
