Sahuarita adopts $113 million tentative budget for 2027; no tax rate increases recommended

The Town of Sahuarita adopted its 2027 tentative budget of $113,036,970 at the May 26 council meeting, setting the spending ceiling for the coming fiscal year while scheduling a public hearing and final adoption for June 22.

Finance director Mr. Mariotti told the council the budget is balanced and relies on beginning fund balances of $51.4 million that will roll forward into the new fiscal year. Projected collections during fiscal 2027 total about $61.2 million, leaving ending balances of $46.7 million. The administration recommended no changes to existing tax rates; the Quail Creek Community Facilities District tax rate is expected to decline because of assessed-value growth in that CFD.

Key spending priorities in the tentative budget include $15 million for capital improvements (26 projects) and $44.7 million for operations, the latter driven largely by personnel costs. Major capital items programmed for 2027 include continued work on the police department expansion/renovation, lake remediation design and initial remediation work, road improvements (including the Campbell Avenue extension discussed at the meeting), and parks projects such as Animax pickleball courts and playground replacements.

Mariotti outlined how the town used priority-based budgeting to score 116 operational programs and 47 capital projects; funds were allocated with an emphasis on programs and projects aligned with the town strategic priorities. He said the town has adequate fund-balance capacity to accept potential additional federal grants should they materialize (for example, for wastewater odor control), but those federal funds are not included in the base $1.4 million wastewater line-item as presented.

Council voted unanimously to adopt Resolution No. 202069 establishing the tentative budget. The council must hold and notice a public hearing before adopting a final budget (hearing scheduled for the June 22 meeting).