Mayor Mike Johnston unveils proposed 2025 budget, with cuts that are a result of a dip in Denver consumer spending
A drop in consumer spending is affecting the city of Denver's finances. Mayor Mike Johnston unveiled his proposed 2025 budget on Thursday, and as a result of that dip in it includes substantial cuts to programs that he's passionate about.
Nicole Doheny, the chief financial officer for the City and County of Denver, says cities like Los Angeles and Chicago are also facing similar challenges.
"Denver is not immune to these factors. Here in Denver what these trends mean for us is that our revenue growth for 2025 is projected at 1.1%. (It's our) lowest revenue growth since the pandemic," Doheny said.
The $1.76 billion general fund cuts $77 million from migrant services.
At least $38 million will go into the Vibrant Denver initiative, which invests in neighborhoods and businesses.
"This is a huge opportunity to think about how we prioritize those dollars we do have into the most important public services we want to deliver," Johnston said.
An estimated $215 million will go towards affordable and accessible housing and health care. Denver Health will see a total of $74 million.
The mayor's All In Mile High homeless initiative program will be cut by $84 million.
"As you know, now almost 1,900 people have moved indoors in our All In Mile High effort and we are on track to be the largest city in America to end street homelessness for veterans this year," Johnston said. "There's a lot of good momentum in here, not enough yet, we have a lot of work to do."
The rest of the budget includes:
- The goal to train 168 new police recruits, 24 new firefighters and 60 new deputies.
- Reducing full time employees without furloughs or layoffs.
- Adding new initiatives which includes more charging stations for electric cars and after school programs.
"We think this is a chance to prioritize the key investments in the areas we need the most while we make sure we're fiscally responsible as we drive our way out of this growth cycle," the mayor said.
The proposed budget now goes to the Denver City Council for approval. The council will begin that process next week.
The deadline for final budget approval is Nov. 12.
