Montrose County adopts accounting rules for public safety sales tax after tense debate

Montrose County commissioners voted July 16 to adopt Resolution 36-2025, establishing separate accounting and reporting protocols for the county’s public safety sales tax (PSST) and creating a citizen oversight committee to review revenues and expenditures.

Commissioner Sean Pond introduced the resolution and read the original 2007 ballot language that created a 0.75% PSST and required “no less than 70%” of annual revenues be dedicated to the Montrose County Sheriff’s Office. Pond said the resolution “puts it out into separate line items to where it is tracked, to where the public can see where your money is going.”

The resolution requires the county finance department to create a dedicated PSST fund distinct from the general fund, directs a monthly 70% allocation of PSST receipts to the sheriff’s PSST account, retains 30% for county-authorized public-safety uses, and directs that administrative and accounting functions related to PSST be paid from the county’s 30% share. It also calls for a citizen oversight committee and public-facing monthly reports showing total monthly revenues, the 70% sheriff allocation, the county 30% retention, and expenditures from each account. The resolution states full compliance must be achieved by January 1, 2026.

Treasurer Rosemary Murphy told the board her office already records PSST receipts in a separate public safety fund and asked for a clear, written accounting plan so the treasurer’s office will know where to record various incoming public-safety-coded payments, grants and reimbursements. “We have never recorded any of that money into the general fund,” Murphy said, and asked that the implementation details be added to the resolution or recorded as an addendum.

County Finance Director Cindy Dunlap urged caution and asked for time to implement the structural changes. Dunlap said the county received the resolution on short notice and that creating new funds and general ledger accounts, payroll coding, benefits allocation and related electronic workflows would be “a tremendous amount of work” best done with lead time. “It’s not something we could do in two weeks’ time,” she said.

The sheriff also spoke in favor of greater transparency and described past instances—such as an $84,000 intersection project and a building purchase—that, he said, were charged to public safety funds without his prior approval. Several members of the public and people who said they were on the original PSST committee testified that the tax was intended to supplement, not substitute for, the sheriff’s base budget.

Commissioner Sue Hansen opposed immediate adoption, saying staff- and legal-review concerns and potential unintended budget effects merited delaying approval for more work. Commissioners Pond and the chair disagreed and said implementing clear, public accounting is a necessary step to restore citizen confidence.

Pond moved approval of Resolution 36-2025; the chair seconded. The motion passed on a 2–1 vote. The resolution takes effect immediately and requires full compliance no later than Jan. 1, 2026. County staff said they will work with finance, the sheriff’s office and other stakeholders on the technical implementation and the citizen oversight committee structure.

The board indicated it will return with any needed clarifying language or a future ratification measure for voters if remaining questions about ballot interpretation persist.