Arapahoe County presents $672.8 million recommended 2026 budget with historic capital commitments

Jessica Salgo, the county's budget manager, presented the Arapahoe County Executive Budget Committee's recommended 2026 budget in a study session, saying the proposal "is obviously the the culmination of a lot of work that started back when 1A was put onto the ballot." The all-funds recommendation totals $672.8 million in revenue and $670.1 million in expenditures for 2026, with the general fund accounting for about $320 million in revenue and $315.9 million in expenditures.

The packet proposes adding 63 full-time equivalent positions systemwide (55.75 in the general fund), raising recommended staffing to about 2,918.57 FTE. Salgo told commissioners the budget would leave an estimated 2026 ending fund balance of about $134.9 million, roughly a $4.1 million increase over prior estimates.

Why it matters: The recommended plan uses revenue from Ballot Measure 1A passed last year and a reappraisal-driven property tax increase to make substantial one-time and ongoing investments. The EBC recommended a mix of one-time transfers and ongoing changes intended to address deferred capital maintenance, public safety, and housing programs while keeping the county structurally balanced.

Major allocations and policy changes - Policy reserve: The EBC recommends increasing the general fund policy reserve from 11% to 15% to provide a larger buffer against projected revenue volatility. Finance staff explained the reserve includes the TABOR-mandated 3% portion and additional discretionary reserves for emergencies and revenue shortfalls. - Capital and…