AURORA | The city is bracing for a 2027 budget that will require $10.2 million in cuts to spending, but will avoid staff layoffs.
The proposed cuts will include five furlough days for staff and reductions in recreation subsidies and training and travel budgets, as well as the end of prosecuting domestic violence cases at a municipal level. While the city is not planning any layoffs, nine vacant positions will be eliminated and eight open positions will be frozen.
Next year’s general fund budget, which is the main source of funding for city operations, including public safety, transportation, parks and libraries, is expected to be $570.5 million after the cuts, while revenue is estimated to be $567.6 million.
The general fund’s total shortfall for 2027 was $19 million, which the city’s Finance Manager Greg Hayes attributes to a combination of increasing costs and revenues not meeting projections. As of July, sales tax revenue, which accounts for 58% of the city’s income, is up .6% compared to last year.
“We were supposed to grow a little bit in 2027, based on the last Leeds projection, but then the Leeds projection dropped quite significantly, so that’s what’s causing the shortfall,” Hayes said. “Our big issue for 2027 is that we guessed too high last year.”
In addition to the $10.2 million in cuts, the city will balance its budget with $7.3 million from other funds including its recession reserves and an expected $1.8 million in new revenue from additional audits and charging for police services at outside events.
Cuts are also likely for next year, with 2028 having an estimated $13.1 million deficit.
The majority of spending in the general fund, 51%, is for public safety services, including police fire and 911. The police budget is planned to be about $181 million, down from $182 million last year, and the fire budget is $104 million, up from $103 million in 2025. One full-time position for a SWAT team medic will transition from the police budget to the fire department.
While many city departments’ budgets are going down, the city council’s budget is increasing by roughly $491,000, largely due to the city hiring five council aides. Other departments seeing an increase are general management, non-departmental spending and parks, recreation and open space.
Spending across all of the city’s funds, including water and capital projects, is expected to be $1.5 billion. Revenue from all sources is predicted to be $1.8 billion.
The largest portion of all planned spending, 46%, will be for water and wastewater operations and capital projects, including the construction of new sewer lines and improvements to water tracking technology.
One fund that is particularly struggling is the development review fund, which is funded by development-related fees and permits. Development applications have dropped 11% this year compared to last year and single family home permits and renovation permits have also declined 3% and 37%, respectively.
The review fund is facing a $5.9 million deficit, which city officials plan to address through reducing development services and reallocating staff, as well as increasing roof permit fees.
Through the capital improvement program, which funds water, wastewater and other capital projects over a five-year period, the city is planning $2.9 billion in investments through 2031. Those include $1.3 billion for construction of the Wild Horse Reservoir and more than $400 million in improvements to water treatment facilities.
“While many city departments’ budgets are going down, the city council’s budget is increasing by roughly $491,000, largely due to the city hiring five council aides.” That’s five council aide salaries that were foisted on taxpayers by the new socialist-activist majority, such as Alli Jackson, who is “overwhelmed” by the work, blamed the onboarding process, and publicly stated she “can’t do this job.”
Council will get to addressing this just as soon as they are done expressing themselves on state ballot questions, passing non-binding performative resolutions, and addressing prohibitions against vape shops. I mean, they have their priorities and solvency is well down the list.