Fiscal Year 2026-2027 Budget Approval
The Paducah Board of Commissioners approved the Fiscal Year 2026-2027 Budget Ordinance, effective July 1. At the previous meeting, City Manager Daron Jordan provided an overview of the budget through the presentation of his budget address. The City of Paducah’s proposed Fiscal Year 2026–2027 budget is built around the theme “Strengthening Today, Preparing for Tomorrow,” reflecting a balanced approach to maintaining high-quality city services while planning responsibly for the future.
Jordan said, “The FY 2026–2027 budget recognizes an important financial reality facing local governments nationwide: while revenues remain stable and continue modest growth, operational costs continue to rise at a pace that demands discipline, prioritization, and intentional planning. Rather than simply reacting to these pressures, this budget positions the City to respond proactively by strengthening core operations today while building financial and organizational capacity for tomorrow.”
The proposed General Fund budget totals approximately $51.9 million, with an overall city budget across all funds of $116.4 million supporting municipal operations, infrastructure, public safety, economic development, and quality-of-life initiatives. Jordan said this budget addresses rising operational costs through conservative financial planning, operational efficiencies, and disciplined spending while continuing investments in key priorities such as downtown development, neighborhood revitalization, Southside investment, street improvements, and community growth projects. The City’s Investment Fund is projected at approximately $7.9 million to help advance these strategic initiatives.
Jordan explained that the major cost drivers include personnel, insurance, software and technology systems, fuel, and inflationary operating expenses. In recognition of long-term financial sustainability, nine currently unfilled positions have been frozen, allowing the City to manage cost pressures while protecting essential municipal services and maintaining operational effectiveness.
In addition, the City is recommending an increase in its General Fund reserve from 10 percent to 25 percent to strengthen financial resiliency and better prepare for emergencies, economic uncertainty, and future capital investments. The budget identifies more than $15.5 million in unfunded capital needs including City Hall stabilization, a future police station, and planning for the future replacement of Fire Station #4.
In closing Jordan said, “The FY 2026–2027 Budget represents more than a spending plan—it reflects a strategic commitment to strengthening the services residents rely upon today while preparing our community for tomorrow. It is disciplined, balanced, and intentionally aligned with the priorities of the Commission. Together, we continue building a stronger, more resilient Paducah—honoring our history while confidently preparing for the future.”
City Hall Stabilization Project
The Paducah Board of Commissioners approved a Municipal Order authorizing a contract with PFGW Architects in the amount of $842,500 for the City Hall Stabilization Project. In February, the City of Paducah issued a request for proposals from qualified professional design firms for the project.
In 2025, deterioration of the underside of City Hall’s concrete cantilevered porch canopy became evident. In addition, City Hall has experienced ongoing water intrusion issues in the basement. This project will address the structural deterioration of the porch canopy and support columns, the porch (podium) understructure, and the building’s external water drainage system.
The project includes removing the heavy concrete canopy and support columns and replacing them using modern materials and construction techniques that will closely resemble the existing structures. Improvements to the porch area, known as the podium, will include removing the existing concrete slab to provide access for framing repairs, installing waterproofing, upgrading lighting, and construction of a new surface. The building’s external drainage system also will be evaluated and redesigned with appropriate upgrades.
The design phase and construction bidding process are expected to take at least one year, followed by approximately one year of construction. City Hall will remain open to employees and the public throughout construction. To protect the building and allow continued operations, plywood window coverings, construction debris netting, and a scaffolding/shoring system will be installed.
This project represents another phase in the effort to extend the life of the building which was constructed in the mid-1960s. Between 2017 and 2019, City Hall underwent numerous repairs and improvements including concrete repairs and replacement; stabilization of the roof cantilever with steel beams; replacement of the roofing membrane and skylights; replacement of exterior doors and windows; and replacement of HVAC equipment.
City Hall is listed on the National Register of Historic Places. The Board discussed possibly pursuing historic tax credits through the Kentucky Heritage Council.
Paducah Citizens’ Academy Graduation
The City of Paducah recognized the graduates of the Paducah Citizens’ Academy. Last week, the graduates completed a nine-week voluntary course to learn about local government and Paducah’s various departments. The 13 graduates of the 2026 Paducah Citizens’ Academy are as follows in alphabetical order: Carmela Ballard, Jeffrey Carlson, Linda Carlson, Vince Carter, Carrie Childers, Carol Dismukes, Matthew Evinger, Christina George, Dinah Gihring, Donald Gihring, Meredith Schroeder, Matthew Scott, and Milagros Teves-Mani. Two employees also participated in the class: Daisha Johnson and Ian Puckett. This is class #6.
Additional Meeting Information
- Appointment of Ajay Patel to the Convention & Visitors Bureau.
- Appointment of Tonya Shelton to the Creative and Cultural Council.
- Municipal Order approved authorizing a contract with CJ Mahan Construction Company, LLC for the pump station #11 pump repair project for pump #3.
- Municipal Order approved authorizing Contract Modification #3 with Jim Smith Contracting for an additional scope of work for the Paducah Infrastructure Improvement Project (BUILD grant). This additional scope adds sod and an irrigation system to the project.
- Municipal Order approved authorizing a contract extension with Kroll, Inc. for endpoint detection and response services to monitor the city’s computer network for malicious software activity.
- Municipal Order approved authorizing the sale of property located at 5065 Concord Avenue by auction.
- Municipal Order approved authorizing amendments with Federal Engineering for implementation related to the 911 Radio and Tower Project
- Municipal Order approved for an employment agreement to rehire retired police officer Joseph Hayes.
- Municipal Order approved for a contract with the Upper Town Heritage Foundation for funding from the current fiscal year budget as outlined in the co-stewardship agreement between both entities.
- Municipal Order approved the declaration and sale of surplus properties located at 709 Jones Street and 718 Jones Street. Both properties are currently vacant. The purchasers plan to construct a home on each parcel. Both projects are taking advantage of the Southside Incentive Program.
- Ordinance introduced for a Memorandum of Understanding between the City of Paducah and McCracken County Property Valuation Administration (PVA) for the calculation of the 911 Parcel Fee.
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