Citizens Budget Advisory Committee (CBAC) Regular Meeting – June 17, 2026

The Citizens Budget Advisory Committee met on Wednesday, June 17, 2026, at 7:30 AM in the City Council Chambers. The meeting covered a first-quarter 2026 sales tax report, an extensive public works update, city manager updates, community conversations, and calendar planning. All routine items were approved unanimously.

Consent Calendar

• The agenda was unanimously approved.
• The minutes from the May 13, 2026, regular meeting were unanimously approved (with a note that the minutes document erroneously referenced 2025).

Public Comments & Testimony

• No public testimony from non‑committee members was presented.

Discussion Items

Finance Update – First Quarter 2026 Tax Revenues (Joe Allaire, Director of Finance)

• Overall, Q1 2026 tax revenues are healthy and generally aligned with expectations.
• Sales Tax: $28,888 above prorated budget; up 3.45% year‑over‑year. January slightly trailed 2025, but February and March outperformed, with February posting the highest collections on record. General merchandise, restaurants, and automotive sales led growth. Downtown and outside sales tax remain major drivers.
• Use Tax: Down 11.07% vs. 2025, an expected decline after a record‑setting 2025. Year‑to‑date collections are $61,966 below budget. March showed improvement (+$61,392 over March 2025).
• Lodging Tax: Down 5.5% vs. 2025, $20,512 below prorated budget. The most important tourism months (May–September) are yet to come; no trend established.
• Marijuana Tax: $54,114 above budget; each month in 2026 outperformed the same month in 2025. Continued growth but limited historical data warrant caution.
• Allaire emphasized conservative budgeting due to inflation, rising energy costs, and declining consumer sentiment. No major program expansions are planned for the 2027‑2028 biennial budget.
• Committee members asked about location definitions (e.g., Corporate Center, Heritage Square) and the impact of reduced mountain traffic on lodging. Allaire will provide a business list by location.

Public Works Update (Anne Beierle, Director of Public Works)

• Water Fund: Completed master plans for the water treatment plant. Key needs: chemical storage facility replacement and solids handling upgrade (belt press no longer has spare parts). Estimated ~$40 million in water spending over the next 15 years. New plant considered but far more expensive.
• Water Mains: Well‑maintained system; break rate well below industry standard (~3 breaks/year vs. 10 expected per 100 miles).
• Wastewater Fund: Ongoing negotiations with Coors; a long‑standing agreement remains complex. Coors is making operational changes to meet 2030 state standards, including a new equalization tank. The city maintains a ~$30 million CIP placeholder for future contribution, not imminent.
• Drought & Water Conservation: Water use in first four months was up 10% above normal; after restrictions, use is now a few percent below normal. The city issues warnings and surcharges (about 200–300 potential violations weekly, ~1/3 validated). Parks and golf course have separate reduction targets; the golf course is testing stress limits.
• Lena Gulch Project: Federal grant agreement signed; NEPA and Corps 404 permit completed ahead of schedule. Upper reach at 80% design; lower reach at 60%. Construction funding amendment expected August 11, 2026. Construction likely to start during Martin Marietta’s slow season.
• Ford & Jackson Streets: Sidewalk and ADA improvements underway. Google Fiber will install micro‑trenching after sidewalk work, then paving and protected bike lanes (concrete curb stops with flexible delineators). Between 15th and 18th, Jackson will become one lane plus bike lane to improve safety.
• Sound Walls: North side of Highway 58 completed (city‑funded); south side design underway (construction fall 2027). Highway 93 near Mitchell berm rebuild planned for fall 2026. Long‑range planning for Highway 93 (Golden Plan) being revisited.
• Other Projects: Colfax work (after Lena Gulch), 8th–10th Street trail (partially funded), Grampsis parking lot (150 spaces, including 11 ADA, with archery club contributing $100,000), Fossil Trace pump station (October start), North Ford Complete Street (90% design, no construction funding), US 6/Heritage Road utilities, drainage utilities bundled with water/sewer, Johnson Road paving, and rec center east side stairs/trail (phased).

City Manager Update (Scott Vargo)

• New Police Chief: Michelle Wagner hired; starts July 13, 2026.
• Police & Municipal Building: Within budget; minor delays (4–6 weeks) due to subcontractor coordination and weather (wind/lightning). Windows being installed; roof nearly complete on north side.
• 150‑250 Celebrations: Two state‑funded murals (history museum, water treatment plant) expected August. A drone show at Ulysses Park on September 12, intended as a local event.
• Clear Creek: Peak flows lower than expected (peaked below 300 CFS; currently ~180–200 CFS). Green flags out early. Potential voluntary closures if low flows and high heat harm fish habitat.
• Fire Restrictions: Stage 1 restrictions in effect; red flag warning today. No July 4th fireworks (council decision); city supporting Lions Club family event.
• Creek Enforcement: More trash and bad behavior early due to early tubing season. Tickets issued; CSOs threatened in one incident (person arrested). E‑bike safety education ongoing; no pursuits. Trash cans have opening doors for large items.
• Parking: Substandard spaces on Ford/Jackson removed; garages being improved. Clayworks will build a parking garage. Committee discussed extending the OR cart north to serve Golden Pond area and a South Golden on‑demand pilot.

Community Conversations

• Members praised the flag dedication at the history museum and a Beer Talks presentation on artwork for the new police/municipal building lobby.
• Parking concerns raised; Vargo acknowledged ongoing discussion.

Key Outcomes

• The finance report was received as information; no formal vote required.
• The public works update was received as information.
• The calendar was updated: Fire Department presentation moved to July (to align with wildfire season); Police Chief presentation moved to October (to allow new chief time to settle in).
• The meeting adjourned at 9:14 AM.

Next Meeting

• July 15, 2026: Fire Department update, 2025 ACFR, CBAC Bylaws review (tentative).