Carefree board approves preliminary FY 2025–26 budgets, orders public hearing on rates and fees

The Carefree Water Company Board of Directors approved a resolution on May 6 adopting proposed fiscal year 2025–26 preliminary budgets for both the Utilities Community Facilities District and the Carefree Water Company and ordered a public hearing on the proposals, after staff presented the budgets and answered board questions.

The presentations by staff explained that the UCFD budget primarily covers debt service and two capital projects — the Peaceful Place booster pump station improvement (under construction) and the Silver Saddle Pipeline Improvement Project, which received an $800,000 EPA community grant. Board members voted to approve the resolution calling for a public hearing; the board recorded no public comments during the hearing that followed.

Greg Crossman, the staff presenter, walked the board through an organizational chart showing a legal separation between the town of Carefree and the water enterprise, and said the UCFD holds long‑term debt while the Carefree Water Company raises operating revenue. "We hold the water rights for the benefit of the town," Crossman said, and explained the company imports Colorado River water via the CAP Canal, uses a treat‑and‑transport agreement with Scottsdale and supplements supply with pumped groundwater.

Crossman said the UCFD budget will authorize routine debt service payments (about $1,400,000 this year) and fund two capital projects. He reported the Silver Saddle project was awarded an…