Chandler council adopts FY 2025-26 budget and 10-year CIP; property tax levies set for final adoption June 26

The Chandler City Council adopted the city's annual budget for fiscal year 2025–26 and approved a long-range capital improvement program, acting in a specially called meeting after a public hearing.

City finance staff presented the proposed FY 2025–26 budget as totaling $1,600,000,000 across all funds, with a general fund portion of $615,000,000. Sylvia Delap, the presenting staff member, said the proposal represents a 0.01% decrease in the total budget compared with the prior year and a 6.6% increase in the general fund. "The fiscal year 2526 proposed budget totals $1,600,000,000 and that includes all funds. The general fund portion totals $615,000,000," Delap said.

Delap said staff used the council's strategic framework, maintained the city's financial policies, and balanced ongoing expenditures with ongoing revenues. The proposed 10-year capital improvement program (CIP) presented to council totaled $2,600,000,000; in the special-meeting motion the amount adopted for the 2026–2035 CIP was recorded as $2,617,730,721. The staff presentation also referenced a proposed $44,600,000 property tax levy based on a limited property valuation of $4,120,000,000 and noted the city's combined property tax rate would decline slightly from $1.00826 to $1.00818 per $100 of assessed valuation.

Delap said the budget includes funding for labor commitments and merit adjustments, maintains the full funding status of the PSPRS obligation, and keeps strong reserves. She also noted planned utility rate changes (water, wastewater and solid waste) will be presented beginning in July and that the city is preparing a bond election for November 2025 to support capital projects.

After the public hearing, the council met in a special session and adopted Resolution No. 5906 (adopting the FY 2025–26 annual budget, setting amounts to be raised by direct property taxation, and adopting the 2026–2035 CIP) by unanimous vote. The motion to adopt was made by Council member Harris and seconded by Council member Poston; Vice Mayor Ellis and all other members voted in favor. The final adoption of the property tax levies and Ordinance No. 5130 is scheduled for June 26.

The city manager thanked council and staff for a smooth process, and councilmembers used the time to announce community events tied to parks, Juneteenth and local ribbon-cuttings. No substantive changes to the budget were made at the special meeting; the action records the city's formal adoption of the FY 2025–26 budget and the accompanying CIP.