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KEENE, N.H. (MyKeeneNow) The Keene City Council held a public hearing Thursday night on the proposed fiscal year 2026-27 budget, advancing an $80.2 million spending plan that includes funding for four additional firefighters, continued investment in the downtown infrastructure project, and a proposed increase in water and sewer rates.
The proposed operating budget totals $80,225,389, with $32.9 million to be raised through property taxes. City officials said the spending plan would result in a 9.86% increase to the municipal portion of the tax rate, although the final impact could change following the city’s ongoing property revaluation process.
Much of the discussion centered on public safety staffing. Councilors unanimously approved a resolution appropriating $525,460 to add four firefighter positions. Supporters said the funding is needed to address increasing emergency call volumes and staffing pressures within the department.
The budget proposal also includes approximately $560,000 in fire department staffing increases overall, along with a $1.4 million increase in salary and benefit costs citywide.
During the hearing, residents spoke in favor of retaining a sustainability coordinator position included in the budget. Supporters argued the position helps the city pursue grants, reduce operating costs and advance long-term environmental initiatives.
Councilors also adopted a resolution authorizing additional funding for the city’s downtown infrastructure project. City officials said the funding is needed to cover project costs as construction contracts move toward award.
The council approved an ordinance which increases water and sewer utility rates by 5%.
In another action, councilors adopted a resolution calling on state leaders to address policies and mandates that shift costs to municipalities and local property taxpayers. The resolution was amended before passage to remove a direct reference to Gov. Kelly Ayotte.
Several bond resolutions tied to major capital projects—including downtown infrastructure improvements, roadway rehabilitation, water and sewer system upgrades, the Gilbo Avenue Solar Pavilion project and improvements at Robin Hood Park—were tabled until the council’s June 18 budget deliberations.
Councilors also voted to remove a proposed bond authorization related to the Ashuelot River Dam repair or removal project from consideration at this time.
Among other business, the council confirmed the appointment of Rick Wood as Keene’s emergency management director effective July 1 and authorized several contracts, including design services for the Ashuelot River Park greenspace project, occupational medical services for the fire department, engineering services for the Martell Court pump station bypass project and a stormwater repair contract amendment.
The council additionally authorized the city to pursue a 2025 FEMA SAFER grant and approved easement negotiations needed for the Court Street water main replacement project.
The fiscal year 2026-27 budget remains under review. Written comments on the proposal will be accepted by the city clerk through June 9, and councilors may submit budget amendments through June 16. Final budget adoption is scheduled for June 18.