Bismarck City Commission Approves Final 2026 Budget

The Bismarck City Commission approved the city's 2026 final budget during its regular meeting on Sept. 9, with much of the discussion focused on staffing and its potential impacts on the budget.

The city employs approximately 670 full-time staff and between 200 and 300 part-time staff, depending on the season. Personnel costs-including salaries and employee benefits-total nearly $85 million.

Total projected expenses for 2026 are approximately $350.7 million. General fund revenues are expected to exceed $72.2 million, while expenditures are projected at just over $79.8 million. Property taxes are anticipated to generate $36.7 million, falling short of covering the $40.8 million allocated for public safety in the general fund.

As required by the state of North Dakota, the city applied House Bill 1176 to the 2026 budget, which imposes a 3% cap on property tax dollars collected by the city.

"Finalizing a budget is a marathon," said Bismarck Finance Director Dmitriy Chernyak. "For many of us, these discussions start in March and run through September. It's a lot of what-if scenarios and collaboration between the budget committee, commission and staff. Every year, we're grateful for all the hard work and sacrifices people are willing to make as we try to make very difficult decisions in the best interest of the organization and the community."

Capital Improvements

The 2026 budget includes initial funding for a new police station for the Bismarck Police Department. The project will be financed through a half-cent sales tax measure approved by voters last November, with a portion earmarked for public safety infrastructure. The new facility is expected to cost $80 million. The current police station construction was completed in 1979.

The Bismarck Airport will also undergo major upgrades, including a $15.3 million rehabilitation of Runway 3-21 and an $18 million commercial terminal expansion. At the meeting, Airport Director Greg Haug announced that the Federal Aviation Administration had awarded more than $8.6 million in grant funding for the project. The commission unanimously approved accepting the grant, with Mayor Mike Schmitz authorized to sign electronically.

"Capital improvement projects are critical for our community," said Bismarck Mayor Mike Schmitz. "They are often large infrastructure items that catch people's attention because of their price tag, but they are also immensely valuable to the community's well-being."

Additional approved capital improvement projects:

• Water Treatment Plant Expansion and Improvements Phase 1 | $30.6 million
• Tyler Parkway Extension | $16.7 million
• Haycreek Lift Station & Force Main | $14.1 million
• Asphalt Street Resurfacing and Reconstructing | $12.3 million

2026 Committed Fund Balance

As with the 2025 budget, the city had committed general fund reserves to several projects that must be set aside, though not necessarily spent in 2026. These projects total $20 million:

• Emerald Ash Borer Prevention | $1 million
• Police Station Land | $5 million
• City Building Renovation | $5 million
• New Enterprise Resource Planning (ERP) System | $2 million
• Station #6 Fire Truck | $1.2 million
• Station #6 Fire Station | $5.8 million

Staff Additions

A total of 12.5 full-time equivalent (FTE) positions were requested for 2026. The budget committee recommended funding 6.5 FTEs in the preliminary budget:

• Communications Officer (0.5)
• Emergency Preparedness Specialist (partial)
• Engagement Officer
• Legal Assistant
• Human Resources Generalist
• Police Records Technician
• Senior Human Relations Generalist
• Water Plant Operator

One staff position not initially approved in Municipal Court was discussed at the meeting. Municipal Judge Amanda Harris reiterated her request for the role, and the commission approved adding the position to the budget. The commission's motion included language that the position must pass through the city's established processes for adding new roles.

Staff Salary Increases, Commission Salary Freeze

The commission approved a 3% cost-of-living adjustment for city staff, along with up to a 2% merit-based increase.

"In a year in which we are doing a lot of routine maintenance and lifts that we were expecting to make, with House Bill 1176, I think there will be years where, because of big equipment expenses or big projects that come across the board faster, we are going to have to make adjustments to salaries because of the cap," said Commissioner Anne Cleary, who chaired the budget committee. "This year, fortunately, is not one of those years. I don't want to do a decrease for the sake of doing a decrease, where we're not being held to it by the three percent."

The commission also voted to freeze salaries for the mayor and city commissioners for 2026. In 2025, the total for commission salaries was $107,814.98, with the mayor earning $33,420.66 and each commissioner earning $18,598.58.

More Information

The City of Bismarck's fiscal year runs from Jan. 1 to Dec. 31. For more details, as well as information about past financial reports, visit the Financial Reports page.