Scottsdale adopts budget that aligns resources with community priorities

Scottsdale City Council has adopted the city's fiscal year 2026/27 budget, a fiscally conservative spending plan that prioritizes the services and infrastructure residents rely on every day while maintaining Scottsdale's strong financial foundation.

The $2.119 billion budget is $84.7 million lower than the current fiscal year, reflecting a disciplined approach that reduces overall spending while continuing to invest in public safety, water reliability, transportation, parks, economic vitality and employee retention.

The adopted budget maintains a balanced General Fund and a projected ending fund balance of $214.4 million, positioning Scottsdale to meet current needs while planning responsibly for the future.

"This budget reflects Scottsdale's commitment to delivering exceptional services while remaining responsible stewards of taxpayer dollars," said City Manager Greg Caton. "From public safety and road improvements to long-term investments in our water future, this budget focuses on the priorities that matter most to residents while maintaining the financial strength that has long set Scottsdale apart."

"A lower overall budget does not mean lower expectations for service," said Budget Director Scott Selin. "This spending plan focuses resources on Scottsdale's highest priorities while maintaining the financial flexibility needed to respond to future opportunities and challenges."

Public safety remains the top priority

The budget makes significant investments to strengthen emergency response capabilities and support Scottsdale's police officers and firefighters.

Key investments include:

• $18 million for renovation and expansion of the Civic Center Jail and Downtown Police Facility
• $10 million toward construction of a new fire station at 90th Street and Via Linda
• $9 million for the Ambulance Annex and continued implementation of Scottsdale's municipal ambulance service
• $7.9 million to establish and fund compensation parity for sworn police and fire personnel with top public safety agencies across the Phoenix metropolitan area

These investments help ensure Scottsdale remains one of the safest communities in the nation while supporting recruitment and retention of highly qualified public safety professionals.

Investing in roads and transportation

The city continues its commitment to maintaining and improving Scottsdale's transportation network through a substantial investment in roadway infrastructure.

Highlights include:

• $45 million for pavement preservation projects citywide
• Reconstruction of Thomas Road between 56th and 73rd streets
• Modernization of major traffic signal equipment to improve reliability and mobility

These projects will help extend the life of city streets, improve driving conditions and enhance traffic operations throughout Scottsdale.

Protecting Scottsdale's water future

The adopted budget includes approximately $331 million in water and water reclamation infrastructure projects, representing one of the city's largest areas of capital investment.

Over the next five years, Scottsdale plans to invest more than $855 million in water and wastewater infrastructure, supporting the systems that deliver, treat and reclaim water throughout the community.

Funding supports:

• Upgrades to key water treatment facilities
• Replacement of critical water pipelines and pump stations
• Expansion of water reclamation infrastructure
• Strategic investments to strengthen Scottsdale's long-term water portfolio

These investments help ensure Scottsdale continues to provide a reliable and sustainable water supply for residents and businesses while positioning the city to meet future water demands in the desert Southwest.

Enhancing parks, preserves and community spaces

The budget continues investments that preserve and enhance Scottsdale's quality of life.

Projects include:

• Proposition 490-funded improvements to aging parks and recreational amenities
• Lake and irrigation system repairs at Vista del Camino Park
• Trailhead enhancements in the McDowell Sonoran Preserve
• Improvements at McCormick-Stillman Railroad Park

These investments help maintain the parks, trails and public spaces that residents enjoy every day.

Supporting economic vitality

The adopted budget also invests in projects that strengthen Scottsdale's economy, tourism industry and business community.

Highlights include:

• Old Town Scottsdale improvements
• New monument signage for the Fifth Avenue District
• Accessibility improvements at Scottsdale Stadium
• Wayfinding enhancements at WestWorld

These projects support local businesses, improve visitor experiences and strengthen Scottsdale's position as a premier destination for tourism, events and investment.

Investing in employees

Recognizing that city employees are essential to delivering high-quality public services, the budget includes investments in workforce recruitment and retention.

The budget provides:

• Up to a 3% merit increase for eligible employees
• A 1% market adjustment
• A one-time 1% payment for eligible employees at the top of their pay range who are not eligible for merit increases
• Continued advancement of plans for an employee health clinic focused on preventive care and long-term cost management

"Scottsdale's success is built on the dedication of our employees and the trust of our residents," Caton said. "This budget balances both by investing in the people, infrastructure and services that keep Scottsdale strong today while preparing for tomorrow."

The fiscal year 2026/27 budget takes effect July 1, 2026.