COLORADO SPRINGS, Colo. (KOAA) — The Colorado Springs City Council moved one step closer to finalizing next year's budget on Monday. The council gave initial approval to the 2026 spending plan, but it still needs a second vote to pass.
Colorado Springs is facing a $31 million budget shortfall. The budget was officially introduced on October 6 by the Mayor.
The city has taken proactive measures to address the shortfall by eliminating 38 civilian positions, scheduling five unpaid furlough days for most city employees, and closing Meadows Park Community Center.
Seven of the nine councilmembers voted to proceed with the budget as written. Council President Lynette Crow-Iverson and Councilman Brian Risley were the two who opposed its advancement.
“I don't foresee that the economy in Colorado Springs and in El Paso County is going to be as robust as I think the administration is hoping and projecting,” says Councilman Risley.
The Colorado Springs City Finance office is projecting a 1.4% or $3.5 million growth in general fund revenue, primarily comprised of sales tax revenue.
Risley, the President at CRP Architects, says the economy is not in a great place at the moment.
“My business is predicated on our ability to predict what may be around the next corner when it comes to the economy, and we're just not seeing a very strong direction right now,” he says.
He says he also voted no because other Colorado Springs entities, such as Pikes Peak Regional Building Development and Pikes Peak Regional Transportation Authority, are projecting budgets with zero growth for 2026, plus several public safety departments are underspending.
“Why would we raise the projected budget going into ’26 if the major departments are underspending?” he says.
“I think rather than just saying we're gonna stay flat, we actually use the modeling software, the modeling that our finance office has, and go with that,” says Councilman Dave Donelson.
Donelson’s approach is one of trust now, fix later. He says the city can cut spending if projected revenue doesn’t come.
Risley says there’s reason to be hesitant.
“I believe that it's fiscally irresponsible for the city to be projecting an increase of 1.4%, especially in light of the fact that this past budget year, we projected a 3.4% increase and actually saw a flat cycle,” he says. “We're going to be back in the same position that we were this year, having to make additional cuts and having to reduce things.”
The budget still must be voted on one more time before it can be approved. That vote is scheduled for November 25th.
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