City Council Votes Unanimously to Approve FY 2025 Budget

Hattiesburg, Mississippi – On Friday, September 13, the Hattiesburg City Council voted 4-0 to approve a $163.5 million budget for Fiscal Year 2025.

“We are grateful to the Hattiesburg City Council for their work and collaboration in delivering another structurally balanced budget for Fiscal Year 2025,” said Mayor Toby Barker. “This budget maximizes the lean growth in revenue toward meeting the infrastructure, public safety, and service needs of our citizens while also continuing to invest in city employees.”

Highlights of the FY 2025 budget include:

Structural balance in the city’s general fund for the fifth consecutive year. Of the $163.5 million total budget, the general fund comprises $65.3 million.
No water and sewer fee increases
No property tax increases; city millage will remain at 53.13 mills
Continued investment in infrastructure, with $2.9 million allocated for paving
Sales tax revenue projected at $27.8 million, in line with FY 2023 collections

The FY 2025 budget also includes wage and salary adjustments for city personnel, including:

Step raises for police and fire sworn officers
Targeted salary adjustments for various departments, including the Action Center, Streets, Sanitation, and Parks & Recreation
Service-based raises for water and sewer employees
Addition of part-time positions in code enforcement, permitting, airport, and animal control
Targeted salary adjustments for various divisions, including Public Works Health, Streets, Sanitation, and Shop; Parks & Recreation Maintenance and Community Centers; Code Enforcement, Action Center, and Permitting
Years of service raises for Water & Sewer employees

The budget accounts for the revised Public Employees’ Retirement System (PERS) employer contribution rate increase, set to rise from 17.9% to 18.4% on July 1, 2025. The budget also reflects a shift in millage, moving 0.10 mills from the General Fund to the Police & Fire Municipal System.

The FY 2025 budget marks the eighth consecutive budget passed with unanimous support from all council members.