2027 Budget approved

Published on September 02, 2026

The Lenexa City Council voted to approve the 2027 Recommended Budget at its meeting on Sept. 1, 2026. The total budget for 2027 is $275.2 million — $178.9 million in expenditures and $96.3 million for projected reserves. 

Budget highlights

The adopted budget lowers Lenexa’s property tax rate to 25.984 mills, a 0.250-mill decrease from the 2026 rate. This marks the City’s ninth consecutive reduction in the property tax rate and sets Lenexa apart among Johnson County cities by lowering its mill levy for next year. The budget also maintains structural balance in the General Fund in all five years of the multi-year financial model.

When developing the budget, City leaders followed long-established principles that have supported strong financial outcomes for years, including:

• Funding ongoing operating expenditures with ongoing revenue sources.
• Using one-time revenues for one-time expenditures (capital projects, for example).
• Maintaining sufficient reserve balances to address unforeseen events like the Great Recession and COVID-19 pandemic.
• Using a conservative approach to revenue estimation.
• Preparing and funding equipment replacement and building maintenance schedules.

Building the budget

Lenexa achieves positive financial results and top credit ratings by adhering to these longstanding budget principles. City leaders also weighed these key influences when considering next year’s budget:

• A steady local economy with stable revenue and ongoing development activity.
• A national economy where economic growth has slowed compared to recent years, and higher interest rates, elevated inflation, increasing housing and insurance costs and ongoing global uncertainty continue to weigh on residents and businesses alike.
• New state or federal laws that could negatively impact City revenue. 
• The City’s commitment to providing exceptional services to the residents and businesses of Lenexa. 
• Recruiting and retaining staff in the current job market.

What's next?

The adopted budget supports the Governing Body’s Guiding Principles and was informed by results from the 13th biennial citizen satisfaction survey — conducted in the fall of 2025 — which told leaders that residents are highly satisfied with City services. 

Residents had an opportunity to provide input on the 2027 Recommended Budget during the Aug. 18 City Council meeting and at public hearings during the Sept. 1 City Council meeting. Throughout the process, staff have posted responses to budget-related questions on the City’s website. 

The final version of the budget document will be posted at Lenexa.com/Budget after the Capital Improvement Program (CIP) process wraps up near the end of the year. The CIP allocates funding and sets a tentative schedule for community infrastructure projects over a five-year period. The Lenexa City Council will begin study of the 2027–2031 CIP this fall.