Earlier this month, Boulder’s City Council got a “sober” look at the city’s financial future. At a recent council meeting, city staff sounded the alarm about the potential for a tight city budget in 2025. This, of course, should come as no surprise.
The economic picture around the county has been a topic of concern since the post-pandemic boom started to cool. Inflation has remained frustratingly high, worker shortages have taken their toll and interest rates have cooled the housing market, according to Richard Wobbekind , associate dean for business and government relations at CU Boulder’s Leeds School of Business. For Boulder, though, budget concerns have stemmed from two major places, according to city staff : First, revenue from the city’s sales and use tax, which makes up about 40% of the city’s total revenues, has been flattening, and that trend is expected to continue through this year.
And second, the future of property taxes, another major revenue source for Boulder, is uncertain because of new legislation and possible ballot measures that could come into play this year. There is a lot to unpack here. To start, Boulder is an ambitious city.
Not only do we have typical budgetary expenditures, such as utilities, police, parks and recreation, open space, transportation and fire rescue, but we have also set ambitious goals, such as doing our part to address climate change and providing housing and resources for our unhoused neighbors. These sorts of goals, .
