Gila County staff outlines 2027 budget framework: capital carry-forwards, debt-service impact and a proposed 2.8% COLA

Finance staff presented the 2027 budget framework and supporting data to the board. Key points included that capital requests last year approached $50 million while $23.1 million was included in the 2026 budget and roughly $19.2 million of projects were moved forward to 2027. Staff identified capital categories (public works, facilities, public safety and IT) and noted specific placeholders such as a Veterans Retreat Center line tied to state-directed funding.

On debt-service, staff explained that adding the recent flood-recovery bond increases combined pledged-revenue annual debt service from roughly $2.26 million to about $4.5 million; staff said pledged revenues (sales tax, excise tax, vehicle license tax) total roughly $17.8 million and appear sufficient to cover the payments. "Using pledged revenue ensures that our borrowing is responsible and sustainable... and your primary property tax remains flat," staff said.

On compensation, staff presented a snapshot of salary and benefits growth since 2016 and estimated a 2.8% across-the-board increase (excluding step-plan participants and elected officials) would cost about $706,000 in gross salary. Several supervisors expressed support for 2.8% to help with retention and morale and discussed options for a one-time bonus funded from LATCF or other sources if feasible. Staff said the tentative budget will be presented June 16 and final adoption is scheduled for July 21, and offered to produce work-session materials and worksheets requested by supervisors.