Yavapai County approves $424.4 million budget, levies proposed property tax increases after Truth in Taxation hearing

The Yavapai County Board of Supervisors voted unanimously June 25 to levy the property-tax increases shown in the Truth in Taxation notices and to adopt a $424,356,065 county budget for fiscal year 2025–26.

The action came after a presentation by county budget staff and public comment during the Truth in Taxation hearing. Zach, a county staff presenter, told the board the proposed county-controlled rates would be held flat for the county general rate at 1.6443 and for the library district at 0.1346, while the flood control district rate would drop to 0.1674 (a decrease of 0.0075). Zach also said the county-wide budget reflects more than 300 funds, that intergovernmental revenues are the largest revenue source, and that about $82 million of previously received federal and other funds (including ARPA) will be spent in the coming fiscal year.

Why it matters: the vote sets the county’s revenue plan and tax levies for the year that begins with the 2025–26 budget. The budget documents show courts and public safety are the largest expenditure area across all funds (about 38.6 percent of total funds) and account for more than half of the general fund; property taxes comprise about 18.6 percent of the county’s total revenue mix.

During public comment, resident Dan Chacon expressed concern about rising property taxes and asked whether assessed values would fall with recent declines in home prices. “If you don’t reduce the tax rate because property values are going down, how do you justify 2 increases?” Chacon asked, saying he is retired and on a limited income. Sandy Griffiths, another resident, told the board she accepted the tentative budget but urged the county to release budget books earlier next year and to review contribution requests to nonprofit organizations. “This budget is the lifeblood of the county,” Griffiths said.

Board discussion included requests for additional detail in budget visuals: Supervisor Chris Kukhnall asked staff to break out courts and public safety separately in future charts so the board can see spending for the court system distinct from sheriff and law-enforcement costs. Supervisor Jenkins asked for copies of the presentation; Zach said he would provide the slides and the requested breakdown.

The board moved through the formal steps required by Arizona’s Truth in Taxation process: Chair Mallory made a motion to levy the increased property taxes as shown in the Truth in Taxation notice; the motion passed unanimously. The board then held and closed the public hearing on the county budget and, following a motion and second, adopted Resolution No. 2,158 to adopt the FY2025–26 county budget, also by unanimous vote. The board additionally resolved into the respective boards for special improvement districts and approved final budgets for several special districts, including the Yavapai County Free Library District, the Yavapai County Jail District and the Flood Control District.

Budget highlights and figures discussed by staff include: total county budget net of transfers of $424,356,065; intergovernmental revenues (including state shared sales tax and federal grants) listed near $54.6–54.7 million in several categories; state grants shown at about $20.1 million; fund balance accounting for roughly 19 percent of revenue and $82 million of previously received funds scheduled for use; property taxes at about 18.6 percent of revenues; county excise (sales) tax and charges for services at lower percentages; and capital-project reserves where nearly half of the capital set-aside is held as capacity under Arizona law. Zach described the five budget priorities the board requested be reflected in the plan: staffing, the strategic facilities master plan, ARPA spending, capital improvement planning and continued innovation and efficiency efforts.

What the board did not do: the board did not reduce the countywide general rate proposed by staff; the county general-rate proposal was presented as flat. Board members and staff noted some department requests were trimmed during the budget process so the final package fit fiscal constraints. The board also discussed forming a budget committee to review process improvements; Supervisor Kukhnall and Supervisor Jenkins indicated willingness to serve on such a committee.

The county’s Truth in Taxation actions and budget adoption will take effect under the schedule and legal processes described in the county notices and Resolution No. 2,158. The board adjourned after the votes.