Gunnison council approves FY2025–26 amendments and adopts FY2026–27 budget

The Gunnison City Council approved amendments to the fiscal year 2025–26 budget and adopted the fiscal year 2026–27 budget at its June 17 meeting after a series of statutorily required public hearings.

Dennis, the city staff member who presented the financial materials, told the council the general fund remains balanced and that year-end projections showed stronger-than-expected revenue. "From a general fund side, a balanced budget... the final budget projection, we're looking at 2,400,000," Dennis said, describing an additional roughly $100,000 in revenue and one large irrigation-related receipt tied to the Tar Canyon project.

The council separately held hearings and approved proposed wage adjustments for appointed officials (a 2.5% cost-of-living adjustment was discussed) and transfers from enterprise and special funds. Dennis explained the transfers proposed for FY2026–27: moving $396,500 from the water fund (with $326,000 to the general fund and $70,000 to the irrigation fund) and $250,000 from the sewer fund (including $50,000 to the general fund and $200,000 to the pool fund). He said the irrigation transfer will support a study for pond expansion, the sewer allocation will help match a planned sewer master-plan grant for Gunnison and Centerfield, and pool funds are being reserved for major roof or renovation work.

After the public hearings concluded, the council moved to adopt Resolution 2026-07, the fiscal year 2026–27 budget. A motion to adopt was offered and seconded; the motion passed on roll call. Earlier in the meeting the council also approved the FY2025–26 budget amendments by roll call vote.

The adopted budget does not include a proposed tax increase, Dennis told the council, though he said the city expects modest revenue growth because of local development. He also noted a roughly $215,000 increase in projected revenue from the tentative budget, largely driven by a state grant to support critical court work.

Council members asked clarifying questions about vacation accruals and a previously adopted policy that allows full-time employees to cash out up to a week of vacation; Dennis said the code caps carryover at 40 hours per year and described how payroll accounting reflects 26.5 pay periods to accommodate the policy. The council also received and accepted several staff reports covering water delivery, grant status and other items.

The council closed the evening by moving into a closed session to discuss personnel matters. The city clerk will publish the adopted resolution and related budget documents consistent with statutory notice requirements.