City Council Passes City’s Operating Budget and Adopts Key One-Year Objectives

ALBUQUERQUE – Today, the Albuquerque City Council voted to approve the City’s Fiscal Year 2026 budget through the passage of R-25-132, which appropriates $1.5 billion for operating the City Of Albuquerque for Fiscal Year 2026, and R-25-153, which sets the One Year Objectives for the City of Albuquerque for Fiscal Year 2026. The Council’s approval reflects the commitment to fiscal responsibility, strategic investment in vital services, and a clear roadmap for the City in the coming year. 

District 9 City Councilor Renée Grout and Chair of the City Council’s Committee of the Whole  (COW) emphasized the significance of both resolutions. "The passage of the FY 2026 budget and the adoption of our one-year objectives through R-25-153 demonstrate the Council's dedication to both sound financial management and a focused approach to addressing the needs of our growing community," stated Councilor Grout. "These actions provide the framework for how we intend to serve Albuquerque residents in the coming year."

FY 2026 Budget: Investing in Priorities

The approved FY 2026 budget, through R-25-132, strategically allocates resources across various city departments, reflecting the Council's priorities and commitment to essential services. A significant aspect of this year's budget is the dedicated allocation of Local Government Abatement funding, also known as the Opioid Settlement Fund, to support critical initiatives addressing the opioid crisis.

"We are committed to utilizing the Opioid Settlement Funds in a manner that will have a tangible and lasting impact on our community's efforts to combat the opioid crisis," Councilor Grout asserted. "These funds will bolster existing programs and allow us to implement innovative strategies to support those affected by addiction, directly aligning with our Human and Family Development goals."

The budget also recognizes the importance of hard-working City employees. “Our job as a City is to provide great customer service to our citizens, and our front-line employees are key to that mission,” Councilor Grout said. “Our AFSCME union employees got left behind last year. This budget brings all AFSCME employees up to the minimum negotiated rate. This is a total two and one half percent cost of living adjustment increase for all City employees. That was very important to me and to my colleagues.”

Recognizing the importance of fiscal stability, the FY 2026 budget incorporates cost-saving measures enacted by the City Administration.

The top five funded departments in the FY 2026 budget, demonstrating the Council's key priorities, are:

1. Police Department ($273,975,000): Ensuring public safety remains a paramount concern, directly supporting the Public Safety goals outlined in R-25-153.
2. Fire Department ($128,682,000): Providing critical emergency response and prevention services, also a key component of the City's Public Safety objectives.
3. General Obligation Bond Debt Service ($97,460,000): This allocation ensures the City meets its financial obligations related to previously approved capital projects, demonstrating responsible fiscal management and supporting the Public Infrastructure Goal.
4. Group Self-Insurance Fund ($101,735,000): This fund supports the health and well-being of city employees.
5. Municipal Development Department ($50,617,000): Focusing on maintaining and improving the City's infrastructure, directly contributing to the Public Infrastructure Goal.

"The allocation of funds to these key departments, alongside the adoption of our FY 2026 objectives, aligns our budgetary priorities and our strategic goals for the City," COW Chair Renée Grout explained.  “The passage of the City’s largest-ever budget and the adoption of the City’s one-year objectives move our City forward. I want to personally thank my fellow Councilors and Council Services Department staff, who remain committed to responsible governance and transparency throughout the process. We will continue this work in making strategic investments to benefit the entire community.”

Setting the Course for FY 2026

The resolution (R-25-153) sets the one-year objectives for the City of Albuquerque and is mandated by the City Charter and Budget Ordinance, requiring the Council to annually review and adopt the objectives, which are aligned with the City's broader five-year goals.

"These objectives, spanning areas from human and family development to governmental excellence, provide clear direction for the Administration and allow the Council to effectively monitor progress throughout the fiscal year," explained Councilor Grout. "They ensure that our budgetary allocations are directly tied to achieving tangible outcomes for our City and our neighbors."

The FY 2026 objectives are organized under the following eight five-year goals:

1. Human and Family Development
2. Public Safety
3. Public Infrastructure Goal
4. Sustainable Community Development
5. Environmental Protection
6. Economic Vitality
7. Community and Cultural Engagement
8. Governmental Excellence and Effectiveness

Council staff will actively monitor and report on the progress of these objectives throughout FY 2026. The resolution also requires the Administration to provide a report on the accomplishments and challenges related to the FY 2025 objectives within 90 days of its publication, ensuring accountability and continuous improvement.