NE Valley Times

The city has unveiled its proposed Operating Budget and Capital Improvement Plan for Fiscal Year 2023/24, which spans from July 1, 2023, to June 30, 2024. The tentative adoption of the budget is set for May 16, with final approval expected on June 13.

Scottsdale City Manager Jim Thompson stated, “This balanced budget is possible due to the continuing strength of the local and state economy as the Valley comes off one of the busiest special events seasons in our history - much of that centered in Scottsdale.”

Despite robust revenue growth through the pandemic and current fiscal year, a decline in local tax revenues is anticipated due to an expected economic downturn and reduced consumer spending. Consequently, the proposed budget adopts a cautious stance toward future financial planning.

The city's expenditure priorities include workforce support, addressing inflationary pressures on core services and capital projects, as well as funding City Council and citizen initiatives.

For Scottsdale's workforce, the General Fund's proposed operating budget represents a $44.1 million increase from FY 2022/23. This increase primarily funds high-performance workforce initiatives by offering competitive pay and benefits to retain and attract employees. The city aims to hire additional staff to enhance performance in key areas such as short-term rental licensing compliance; cybersecurity; crime prevention; police crisis response; traffic enforcement; municipal security; infrastructure maintenance; waste collection; and water policy planning.

Community investments feature prominently in the operating budget. Funding will support public art restoration projects like repainting "The Path Most Travelled" along Loop 101, replacing critical library technology infrastructure, completing the Indian School Park Master Plan, implementing a comprehensive Shade and Tree Master Plan, and modernizing cooling towers at city buildings for improved efficiency.

A new initiative under consideration is the Scottsdale Promise program. This would enable eligible residents to attend Scottsdale Community College for two years with Arizona resident tuition and fees fully covered. This proposal was introduced by the City Council Subcommittee on Education.

Addressing rising costs in materials and labor affecting capital construction projects is also a focus of the proposed Capital Improvement Plan (CIP) budget for FY 2023/24, which totals $1,428 million including contingencies. Projects slated for funding include enhancing cybersecurity capabilities; expanding solid waste facilities; funding pavement overlays; upgrading traffic signals; and improving accessibility features like sidewalk ramps.

General Fund revenues are projected to rise by $47.3 million compared to FY 2022/23 figures due to increased income from state shared taxes, property taxes, building permits fees among other sources.

The primary property tax rate proposed for FY 2023/24 stands at $0.5150 per $100 of assessed value while secondary rates are set at $0.4664 per $100—both among lowest compared with major Valley cities. Additionally ,the sales tax rate remains steady at 1.75% across most business activities contributing towards financing essential city services .

Further details about city tax rates can be found by searching "taxes" on ScottsdaleAZ.gov where interested parties may also review more information regarding this proposed fiscal plan under "budget."