Watertown City Council Advances 2026 Budget Supplement With Airport, Public Works and Park Funding Transfers

Northeast Radio SD News – Watertown, SD - The City Council on Monday night held the first reading of Ordinance No. 26‑23, a measure that supplements the city’s 2026 budget and authorizes several internal line‑item transfers across the General Fund, Capital Improvement Fund, and Solid Waste Fund.

Finance Officer Kristen Bobzien introduced the ordinance, explaining that the action serves as mid‑year “housekeeping” to keep departmental budgets aligned with council‑approved projects.

“It’s kind of a two‑part,” Bobzien said. “There’s a budget supplement and then also a budget transfer. You’re used to seeing this at the end of the year, but we had some things that were discussed and approved by council from January till now.”

Bobzien said the first section covers supplemental appropriations—items already approved by the council but now formally added to the budget. The second section moves existing budget authority between accounts, without increasing overall spending.

What the Ordinance Does

According to the agenda documents, the ordinance adds $14,500 to the General Fund for consultant fees in the City Attorney’s office and $781,210 to the Capital Improvement Fund for equipment, land, and facility improvements.

Key allocations include:

·         $270,000 for Public Works machinery and equipment

·         $19,300 for land acquisition under Street System Improvements

·         $21,360 for tennis and pickleball court upgrades

·         $55,000 for Industrial Park building improvements

·         $415,550 transferred to the Airport for equipment relocation

The ordinance also authorizes several internal transfers:

·         $8,644 from Codington County Search & Rescue to Safety Supplies for dive‑rescue equipment

·         $355,000 from park improvements, fire training center, and drainage improvements to support the Airport Equipment Relocation Project

·         $165,000 from refuse trucks to cover the Solid Waste Hoop Barn Project

Councilman Michael Heuer asked about the $30,000 transfer from park and playground improvements to the airport project, noting that playground maintenance remains a concern.

“I just sometimes struggle a little bit with it, knowing that some of our parks continue to get worn down,” Heuer said. “Maybe we could have found $30,000 somewhere else.”

Bobzien explained that the transfer came from a playground bid that came in under budget and was simply reallocated to another need.

“It’s out of Fund 212, so it has that ability to support other areas,” she said.

City Manager Alan Stager added that the move reflects the city’s broader budget philosophy.

“A supplement or an appropriation transfer should not necessarily be viewed as a negative thing,” Stager said. “We’re able to manage within an overall budget without inflating budgets and giving everybody excess authority.

He continued, “I’m not going to go through every line item in the budget and give every one of the seven of you complete ability to run that — that’s not in line with the charter.”

Councilman Allen asked for clarification on the pickleball court improvements, which Bobzien said were fully supported by donations for lighting and a practice board.

“No revenue is needed from the city,” she said. “It’s just to give us that spending ability.”

Allen also noted that Heuer’s questions were appropriate.

“I don’t think anyone’s questioning the city manager’s ability to shift funds,” he said. “It’s informational, and it’s okay to raise that question.”

Since it is the item’s first reading, a second reading and final vote will be at the next council meeting.

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