KUA Adopts $321 Million Budget

On Wednesday, the Kissimmee Utility Authority board of directors approved a $321 million operating and capital budget for fiscal year 2026. The vote came after board discussions and a public hearing on the budget.

The $321 million budget includes, $147 million for fuel and purchased power, which is a slight decrease over the current fiscal year. Additionally, it includes $51 million in capital expenditures to fund a new distribution substation, upgrade transmission facilities, and extend distribution facilities to accommodate growth within the KUA service territory.

The budget authorizes 292.5 full-time equivalent positions, an increase of 3.5 positions and reflects a four percent market level adjustment for employees.

Other highlights of the FY 2026 budget include:

• $35 million for transfers to the City of Kissimmee, City of St. Cloud, and Osceola County
• Total employee base of 292.5 with an associated payroll of $53 million
• Expected customer growth of 2.0 percent over FY25 projection
• Forecasted energy sales increase of 1.1 percent over FY25 projection

The new budget takes effect October 1, 2025.