PROVO — The City Council adopted a $146 million budget for fiscal year 2006 during a meeting late Tuesday night.

Residents will not face a tax increase during the life of the budget, which goes into effect on July 1. However, the budget includes a water rate increase of 6 percent.

For the 16th consecutive year, Provo residents will not see an increase in their electric rate. The city owns and operates its own electric utility.

The budget also includes a 1.5 percent cost-of-living increase for city employees that will begin in January as well as new police and fire vehicles.

The Council voted 6-1 to approve the budget, with Steve Turley casting the only no vote.