Chandler council adopts $1.87 billion budget, lowers property tax rate for 11th year

Chandler — The Chandler City Council adopted the fiscal year 2026–27 annual budget on June 11, approving a $1.87 billion spending plan that city staff said keeps operating spending largely flat while increasing capital investment.

The budget presentation, led by Matthew Dunar, put the total budget at $1.87 billion with a general fund of $617 million. Staff said the overall increase in city funds is about 14.8% driven mainly by capital projects, while operating budgets rose about 1.2%. The general fund operating budget was presented as down about 2.3% while capital spending increased.

The budget package includes a 10-year capital improvement program for 2027–2036 totaling $2.9 billion, an increase of roughly $330 million from the prior plan, and targets infrastructure work including water, wastewater and street projects in Chandler’s north and northwest areas. Dunar told the council the city reduced the primary property tax rate from 1.0818 to 1.0759, marking what staff described as the 11th consecutive year the city lowered the rate. He said the change combined with property valuation shifts would raise the total levy by about $1.4 million and translate to an estimated household impact of roughly $12 per month for a median-value homeowner under the draft figures presented.

Council member Orlando moved to adopt resolution 6012, which sets the receipts and expenditures for FY2026–27 and the proposed property taxation amounts and adopts the CIP; Council member Ellis seconded. After discussion and remarks thanking staff for a nine-month process of public input, the council voted and the mayor announced the motion carried unanimously.

Why it matters: Council members emphasized fiscal prudence and continuity of services. Council member Harris said the process produced what he called a "people’s budget," praising staff for retaining programs and avoiding layoffs while advancing capital work. The adopted plan funds public safety investments, a police forensic facility, ambulance operations, parks and upgrades to water and technology systems, according to the presentation.

Next steps and deadlines: Dunar told the council that final votes to set the tax levies and ordinances (including tentative and final adoption of Ordinance No. 5168) were scheduled for June 22 and June 25. Detailed budget documents and presentations from the nine-month process will be available at chandleraz.gov/budget.

The city manager and multiple council members thanked department directors and staff in the chamber after the vote. The council also noted upcoming civic dates, including a July 21 primary and the public hearing schedule for adoption of the tax levies.