Coconino County officials strategize 10-year plan amid economic uncertainties

The Coconino County Board of Supervisors convened on May 5, 2025, for a comprehensive discussion on the Fiscal Year 2026 budget, focusing on the uncertainties affecting financial projections and the importance of a long-term planning strategy.

The meeting began with a recognition of the challenges posed by fluctuating economic conditions, including rising interest rates and political uncertainties. Supervisor Fowler emphasized the need for a collective response to these challenges, suggesting that the board draft a letter to the congressional delegation to express concerns about the impacts on the county and other counties facing similar issues.

The discussion then shifted to the county's 10-year financial plan, which has historically provided a stable framework for budget development. The board acknowledged that while the plan has served well in the past, including during the COVID-19 pandemic, current economic noise complicates future projections. Supervisor Fowler noted that the plan must be revisited to adapt to new realities, including the effects of tariffs and federal funding uncertainties.

Sarah, a member of the financial team, presented handouts detailing the 10-year forecast, highlighting the importance of stress-testing the general fund plan against various economic scenarios. She explained that the county is preparing for both best-case and worst-case scenarios, emphasizing the need for flexibility in planning. The board discussed the potential need for adjustments in service delivery and compensation based on economic performance.

The conversation underscored the necessity of maintaining a balanced budget while preparing for potential contractions rather than expansions in services. The board agreed on the importance of increasing emergency reserves and establishing a stability fund to create a buffer against unforeseen economic shifts.

In conclusion, the meeting reinforced the significance of the 10-year plan as a strategic tool for navigating financial uncertainties. The board expressed confidence in its ability to adapt the plan as needed, ensuring that the county can respond effectively to changing economic conditions while maintaining essential services. The supervisors committed to ongoing discussions and adjustments to the budget as new information becomes available.