Budget hearing: auditors and HR present FY2027 recommendations; sheriff overtime pressures could leave a projected shortfall

El Paso County’s budget team presented the recommended FY2027 budget, revenue estimates and staffing proposals at a multi‑hour hearing on Aug. 10. Barbara Parker, county auditor, outlined revenue projections: the recommended general fund for FY2027 is $542,352,990 and projected FY2026 ending fund balance was discussed at roughly $116.7 million (rounded). The presentation highlighted that property taxes and charges for services (including federal prisoner revenue) are top revenue sources while interest income has declined.

Budget and finance director Carmen Arita Candelaria and county administrator Betsy Keller then led detailed discussion of staffing, COLA options and capital requests. Human Resources proposed a 1.5% COLA plus step increases (included in the recommended book) with alternatives up to 3.25% that county staff said would raise the county minimum wage to $16. Staff estimated additional costs for higher COLA options (for example, moving from the included 1.5% to a 2% COLA was estimated at roughly $634,000 extra; a 3.25% COLA to reach a $16 minimum wage was estimated at about $1.7M extra beyond the included amounts). Commissioners asked staff to return with models showing the effect of different COLA choices on fund balance and tax-rate options.

The sheriff’s budget presentation flagged significant overtime and meal-contract expenditures: as of July 20, the sheriff’s revised FY26 budget was $142.6M with approximately $119.1M spent or encumbered, leaving roughly $23.5M for the remainder of the year. Budget staff projected a potential FY26 shortfall of about $2.5M, driven by overtime and meal contracts; staff said a contingency request of $1.5M would be needed for meals and that overtime trends could add another ~$3.57M. Commissioners asked for weekly reporting; the court did not take a final adoption vote but directed staff to return with additional scenarios.