Santa Fe launches FY2027 budget hearings with department-by-department presentations

The Santa Fe governing body began its FY2027 operating budget hearings on July 1, convening department leaders to present priorities and respond to council questions. Mayor Garcia presided as directors described staffing requests, program changes and capital needs across tourism, IT, public utilities, public works, community services, emergency management, fire and police, planning, and economic development.

Tourism Director Randy Randall told the council the department requests a $1 million increase in paid marketing and one additional convention-center operations FTE to improve onsite event management. "Santa Fe was ranked number one by the reader poll of Travel + Leisure" Randall said, adding the department is investing in software, including a $515,000 NUMO license to help short-term rental compliance.

IT Director Eric Kandelady described an $8.8 million increase driven by a planned move off VMware/Broadcom, licensing changes and cybersecurity investments. He said the city needs an AI policy and an IT governance structure: "We're going to define who will use it, where that data sits, and how it will be governed," Kandelady said.

Public utilities and public works directors outlined mix of one-time capital reductions and ongoing needs. Utilities leaders said wastewater spending falls as earlier large repair projects finish, while water and operations funding rose because of re-classified CIP items. Public Works proposed a new seven-person parks crew and a $1.5 million facilities maintenance fund to attack deferred maintenance and reduce reliance on contractors.

Community Services Director Sandy Emory highlighted programs for youth, seniors, libraries and recreation and warned that some ARPA-funded contracts will sunset. Emory described work to open a Richards Avenue micro-community and outlined needs for summer youth care and pool repairs. "We are working to expedite permitting so we can deploy funds and get people inside as soon as possible," a youth services manager told council.

Public safety presentations underscored resilience planning and technology. Emergency Management Director Kyle Morgan said the office will pursue formal accreditation (EMAP) and continue hazard planning and exercises; fire officials described station and training upgrades and said ambulance supplies received one-time funds; police leaders credited recent recruitment and pay changes with sharply reduced vacancies and said new technology (ShotSpotter, automated traffic enforcement, expanded Axon tools) will augment field operations.

Planning and land-use staff described ongoing general-plan and land-development-code work and outlined a fee study designed to align permit and review fees with actual costs. Staff said they are implementing better e-review and work-order tools to reduce multi-week review cycles for development applications.

Economic development and arts leaders described a reorganization that groups creative industries, film, small-business support and cultural investment to better coordinate resources and pilot projects started with ARPA. Director Joanna Nelson said staffing additions will focus on project-management capacity to move pilots into ongoing programs.

Council members pressed department heads on staffing, contract-to-staff transitions, software purchases, and the cost and timing of large capital items such as convention-center renovations, pool work and a proposed airport access road. The governing body approved the meeting agenda by motion to begin the hearings.

What happens next: the hearings will continue over the next days; departments will return with clarified figures and any follow-ups requested by council, and councilors signaled interest in further study sessions on capital planning, permitting timelines, and affordable-housing strategies.