Boulder council adopts FY2027 budget and authorizes property tax adjustment process

The Boulder Town Council voted unanimously June 2 to adopt its fiscal year 2027 budget and to authorize administration to take necessary steps to finalize a proposed property tax rate adjustment, including initiating the truth-in-taxation process if state law requires it.

Elizabeth, presenting the budget on behalf of the council and advisers, said the council reorganized expenses into clearer “pillars,” implemented active cash management and recommended adopting "proposed budget version 10," calling it a clean version of the tentative budget the council had previously reviewed. She told the meeting the town’s certified property tax revenue has been virtually flat for years and that the proposed tax adjustment aims to raise annual property tax revenue toward $19,500 to address a growing structural deficit.

The council held two public hearings on the budget. Residents raised concerns ranging from planning commission training cuts to enforcement of short-term rental taxes and the town’s reliance on tourism-related sales and room taxes. One resident who identified herself as a homeowner voiced support for a modest property tax increase to stabilize town services; another warned of a possible tourism downturn and urged the council to secure revenue now.

Council members framed the vote as a pragmatic step to avoid drawing further on savings. Councilmember Josh moved the adoption, with Lacey seconding; a roll-call vote recorded five ayes and no nays. Council also authorized the administration to begin the procedural steps needed to finalize the tax-rate adjustment and to schedule a truth-in-taxation hearing on Aug. 11 if counsel or county clerks determine that the statutory process is required.

Councilors and staff emphasized that, if the truth-in-taxation process is required, the FY2027 budget adopted June 2 will serve as an interim budget until the final numbers are confirmed following that process. Members noted the council can reopen the budget to adjust line items once final revenue figures are known.

The council instructed staff to continue working with county and state officials to ensure compliance with statutory deadlines and to provide additional public notice and materials in advance of any further hearings.

The council’s action leaves open follow-up steps including public notifications tied to the truth-in-taxation process, any required additional hearings, and monthly budget monitoring and adjustments as needed.