Staff Writer | Mayor of Scottsdale
Reducing the taxpayer burden by $84.7 million, Scottsdale is releasing its proposed fiscal year 2026-27 budget, which equates to a $2.119 billion spending plan reflecting a fiscally conservative approach while prioritizing public safety and critical infrastructure improvements.
The proposed budget, representing a 3.8 percent decrease, maintains a balanced General Fund and a strong projected fund balance of $214.4 million, evidenced by numbers presented to the Mayor’s Office.
“Scottsdale is preparing responsibly for a more typical economic environment while continuing to invest where it matters most,” Mayor Lisa Borowsky said. “This proposed budget reflects disciplined planning, careful prioritization and our unwavering commitment to public safety, water security and the services our residents rely on every day. Common sense budgeting allows us to reduce the taxpayer burden without reducing the quality of services we deliver.”
Built on conservative revenue assumptions following several years of strong economic growth, the proposed budget acknowledges continued stability in city revenues while addressing rising costs for personnel, goods and services that have placed pressure on municipal operations.
“We took a hard look at how every dollar is spent,” Mayor Borowsky said. “That meant identifying efficiencies, reevaluating vacant positions and making thoughtful decisions that protect core services while lowering overall spending.”
As part of the effort spearheaded by Mayor Borowsky’s personal call to City Manager Greg Caton for reductions to citywide spending, all expenditures were comprehensively reviewed resulting in a lower overall budget and a net reduction in staffing, while preserving essential services for residents and businesses.
Public safety remains keystone priority
Public safety continues to be Scottsdale’s foremost priority, with significant investments supporting both the Scottsdale Police and Fire departments.
The proposed budget advances implementation of the city‑operated ambulance service and expands fire department staffing. The new budget includes targeted compensation adjustments to support recruitment and retention of high‑quality police officers and firefighters.
“Public safety is the foundation of a strong community,” Mayor Borowsky said. “This budget ensures we continue to support the men and women who protect our city, respond to emergencies and keep Scottsdale one of the safest communities in the nation.”
Additional investments include forward-thinking funding for workforce development and a $2 million contribution to reduce unfunded public safety pension liabilities. Both items reinforce the city’s long‑term financial health.
The proposed budget also maintains strong investment in infrastructure that supports Scottsdale’s quality of life and future sustainability.
The city’s five‑year Capital Improvement Plan totals $956.1 million and focuses on projects that are well‑defined, ready to deliver and aligned with community priorities. Capital projects account for approximately 45% of the total proposed budget, numbers show.
Key infrastructure investments include street maintenance and transportation improvements, along with significant funding for water and wastewater systems.
The proposed budget includes approximately $207.8 million for water projects, $82.7 million for water reclamation and $40 million in contingency funding.
“Water security is not optional in the desert — it’s essential,” Mayor Borowsky said. “These investments ensure Scottsdale remains resilient, reliable and prepared for the future.”
Supporting long-term water reliability in Scottsdale’s desert environment, these investments total about $330.5 million, including both new projects and carry forward funding from prior years.
The proposed budget will be reviewed by the Scottsdale City Council as part of the public budget process with final adoptions anticipated for this June.
