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Fountain Hills adopts FY2026 budget after council debate; Palomino reconstruction set for further review
Summary
Council approved the town's fiscal year 2026 budget after discussion about capital projects and a residents'led dispute over a planned Palomino Boulevard reconstruction and sidewalk proposal; staff will return to council with more design options.
The Fountain Hills Town Council adopted the fiscal year 2026 budget on June 3 after a day of public comment and extended discussion about capital projects, including a contested Palomino Boulevard reconstruction plan.
Town Finance staff briefed council that the final budget totals about $53.4 million across all funds, including approximately $26.05 million in the general fund and an increased capital program. The council set a general fund contingency above $1.1 million and retained a $5 million pavement management allocation plus a $5.4 million appropriation in the capital projects fund for a segment of Palomino Boulevard reconstruction that staff proposes to reimburse from the streets fund.
Town Manager Rachel Goodwin and Department of Public Works staff said the budget was designed to be at or…
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