Council approves $29.2M budget

The Andalusia City Council on Tuesday approved a $28.2 million budget for the 2025-26 fiscal year, which begins Oct. 1.

The budget has only a 2.6 percent increase in actual operating expenses, the mayor said. The increase is lower than the annual inflation rate, which was 2.9 percent as of August.

"This is a sound budget," Mayor Earl Johnson said. "Our employees and council members have worked to keep our expenses in line."

The budget includes:

• $29.2 million in operating expenses

• $250,000 in the contingency fund

• $923,526 for the capital improvement account, which is used for equipment or construction.

"We are pleased that the city's revenues, which come mostly from sales taxes, continue to grow," Mayor Johnson said. "We have had some excellent retail additions in the past few years, and we look forward to adding some more exciting retailers in the coming fiscal year."

In other business, the council:

• Reappointed Deidre Trawick Belton to the board of the Andalusia Public Library.

• Approved the transfer of a restaurant retail liquor license to Kim Samurai Japanese Steakhouse and Sushi Bar.

• Approved the renewal of a contract with the Covington County Commission and Sheriff Blake Turman for housing city inmates.