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Sedona council holds second hearing on extending home-rule expenditure limit before July ballot
Summary
City staff outlined how home rule, a permanent base adjustment or a one-time override would affect Sedona's budget; staff said the city exceeds the state limit by 'over $70,000,000' as presented, and a resident urged voters to oppose home rule.
Sedona held a second public hearing March 10 on whether the city should extend a home-rule option for its expenditure limitation, a measure the council said would appear on the primary ballot on July 21, 2026. Barbara, a city staff presenter, outlined the three paths available to the city — the state-set limit, home rule and a permanent base adjustment (PBA) — and explained the fiscal and procedural differences between them.
Barbara said the state limit is determined by a population-growth formula and a statewide inflation factor and therefore does not reflect local revenue sources such as utilities, bed tax or visitor-driven demands. "The revenue collected above the limit is unavailable for a minimum of 2 years," she said, describing consequences if Sedona were required to operate under the state-set limit. She told the council Sedona has used home rule every…
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