The Oro Valley Town Council is set to approve a $151.5 million spending cap for the upcoming fiscal year at tomorrow night's public hearing—an increase of $4.4 million over the Town Manager’s Recommended Budget delivered just weeks ago. The reason for the increase is a new $4.5 million line item labeled “contingency for potential property acquisition.”
Of which Budget and Finance Commission was never told just a few weeks ago
The addition came with little public notice. At its May 20 meeting, the Town’s Budget and Finance Commission reviewed the Recommended Budget in detail. Nowhere in that discussion was a potential land purchase mentioned. The increase only appeared in revised materials published just a few days ago.
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| Click on panel to enlarge |
In addition to the land purchase, the revised budget includes several other changes. These include $211,000 in increased funding for health insurance claims and wellness programs, $250,000 for a Naranja Park shade structure, and a $105,000 reduction due to updated capital equipment estimates for golf maintenance. A $1 million reservoir project related to the Northwest Recharge, Recovery, and Delivery System (NWRRDS) was removed from the Capital Improvement Program, offsetting part of the new spending. The panel at right summarizes all changes to the TMRB to date.
No public explanation of the purchase
No information has been provided to the public about what the Town intends to purchase, why it is needed, or how the $4.5 million figure was determined. Instead, the matter is being handled in Executive Session tomorrow night. This is a closed-door meeting allowed under Arizona law when real estate purchases are discussed. Observers say that even some Council members do not know any of the details.
Legal to include in budget...legal to keep secret
Arizona law does require municipalities to include any anticipated expenditure—such as a property acquisition—in their budget if they want legal authority to spend funds during the fiscal year. The same law permits Council to withhold the specifics from the public, at least until a purchase is finalized.
Tomorrow night's vote locks in the authority to buy property with no public input
The $151.5 million budget cap will be adopted under Resolution No. (R)25-21. Once approved, the total amount may not be increased—only reallocated among departments and projects. The final budget will be adopted after a second public hearing which is scheduled for June 18. That means that if the $4.5 million for the property purchase remains in the Tentative Budget, tomorrow night's approval gives the Town full authority to make the purchase—without ever having publicly identified what is being bought. Every other major budget change has been disclosed. This one has not.
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Update: The council unanimously (6-0, Barrett absent) approved the 2026 $151.5 million spending limit at the June 4 meeting. Prior to that vote, the council also unanimously approved the direction they had given staff and council in executive session regarding the potential land purchase.
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