Salt Lake City budget hearing weighs tax hike, utility rates, Hive Pass cut

Salt Lake City residents are still in the middle of the city’s FY27 budget process, not looking at a final decision yet. The proposal now on the table would raise the city’s property-tax levy by about 12.5%, increase some utility and waste rates, and end the city subsidy for Hive Pass.

For homeowners, the city says the tax proposal would mean about $9.87 more per month on the city portion of the bill for a home valued at $624,000. That is a small monthly change, but it would add to other household costs if the council approves the rate changes now under review.

What is included in the proposal

Along with the tax increase, the city is proposing higher utility and waste rates. Those changes could affect bills for water, sewer, stormwater, and garbage service depending on the final council vote. For renters, the effect may show up indirectly through landlord costs or utility bills tied to the unit.

The city is also proposing to end subsidization of Hive Pass, the discounted transit pass program tied to the city’s budget. City officials have pointed to low participation and rising costs as the reason it is being reconsidered. That matters for riders who use the pass to make bus and light-rail travel more affordable.

Where the budget fight stands now

The Salt Lake City Council held its first public hearing on May 19, 2026. According to the city’s budget materials and council recap, another public hearing is scheduled for June 2, 2026. The city must finalize the FY27 budget before July 1, 2026.

If the property-tax increase is ultimately adopted, the city says a Truth in Taxation hearing would follow on August 11, 2026. That means the next few weeks matter for residents who want to track whether the proposal moves forward, changes in size, or gets trimmed before the final budget vote.

For Salt Lake City households, the real question is not whether the city is considering higher costs — it is which parts survive the final round of debate. Homeowners, transit riders, and anyone who pays city utility bills should watch the June 2 hearing closely, because that is the next near-term checkpoint before the July 1 deadline.

Sources

• Salt Lake City Finance — FY27 Budget Basics
• KUER — Salt Lake City budget hearing coverage