Colorado Springs Mayor Yemi Mobolade released a proposed 2027 budget totaling just over $1 billion, a sharp reversal from the austerity measures the city enacted only a year ago. The figure marks the first time since 2023 that the city's budget has surpassed a billion dollars, and it represents a substantial jump from the $914 million spending plan approved for 2026. In a written statement, Mayor Mobolade said the proposal aims to invest in the city's workforce, public safety, and essential infrastructure "while remaining fiscally responsible and making every dollar count."
The recovery follows a difficult prior budget cycle. A year ago, the city was working through an anticipated $31 million shortfall, a gap it addressed by cutting roughly one percent of city staff and requiring workers to take unpaid days off. This time around, officials used what the city's chief financial officer described as a "quite conservative" sales tax forecast, and collections are now running about $9 million ahead of what was projected for 2026. The improved revenue picture underpins nearly every major decision in the new proposal.
The general fund — the city's primary pot of money for core services — is projected at $465.5 million, which is $38 million above the current budget year. That fund is built on an anticipated $270.3 million in combined sales and use tax receipts along with $28.1 million from property taxes. Beyond the general fund, federal and state grants account for a significant portion of the overall total, with $186 million in grant funding included — $61 million more than the current budget.
City employees stand to benefit most directly from the turnaround. The proposal would add roughly $20.3 million in total compensation through a combination of eliminated furlough days, pay increases for both civilian and sworn staff, adjustments to medical benefits, and higher pension contributions. Chief Financial Officer Charae McDaniel said the compensation package is aimed at keeping and attracting sworn officers in police and fire, noting that the city "weren't able to provide that compensation" during the 2026 budget cycle.
On the spending side, the Colorado Springs Fire Department is set to receive the largest departmental increase from the general fund, totaling $7.2 million. The plan also directs $1.8 million from the Retail Marijuana Special Tax toward law enforcement technology and equipment, and allocates $3.9 million from that same tax combined with general fund dollars toward replacing fire apparatus, plus $1.4 million for Clean and Safe partnerships. Additional technology upgrades for the Colorado Springs Police Department are included, along with funding for a dedicated pothole crew — an initiative estimated at roughly $370,000 for four full-time positions.
City Council's first budget work session is scheduled for October 15, followed by a public comment hearing at 5:30 p.m. on October 26, with a final vote expected before the end of November. Whether council members seek significant changes to the mayor's proposal will become clearer as those hearings unfold.