CTE board unanimously approves FY26 amendments, loan payoff and FY27 budgets

The CTE board unanimously approved a package of budget measures, including FY26 amendments to several funds, a loan payoff from Fund 541 and final FY27 budgets for funds 545, 515, 516 and 517.

Staff told the board the amendments reflect new revenue and clearer cost allocations created while standing up SB230 programs. Julia Spiker, assistant director of finance and administration, said the agency is shifting certain costs off a loan fund into the oil-and-gas fee funds, adding a modest buffer to address unanticipated overages and increasing professional services support to manage contracting and grant administration.

The board heard detailed fund-level changes. Spiker said Fund 515 (formula program) will show roughly $33 million for transit grants with a $4.3 million reserve for excess awards, and that about $437,000 of available funds would be used toward retiring a loan the Transportation Commission had provided. For several funds staff proposed modest increases in salaries, attorney general fees and consultant services while consolidating administrative lines and adding a new “out-of-state travel” line for expanding passenger-rail work.

Directors raised procedural and programmatic clarifications. Board members asked how the new central services cost-allocation plan would affect reported staff costs; staff said the plan shifts enterprise-wide overhead (HR, facilities, finance) onto CTE budgets to provide more accurate accounting, while direct grants-team costs remain separately charged to CTE activities. The board also heard that FY27 professional services needs should decrease as some work moves in-house.

After questions, the board voted unanimously to approve the FY26 amendments for funds 545, 515, 516 and 517, to authorize the loan payoff from Fund 541 and to adopt the final FY27 budgets as proposed. Chairman Jones called the votes; no recorded dissents or abstentions were entered.

The board’s approved budget package will be rolled into CDOT’s overall budget submission to the Transportation Commission in March. Staff said they plan to present a proposed FY27 formula and discuss weighting and strategic priorities at a future meeting or retreat.