Scottsdale’s Fiscal Year 2024/25 Operating Budget and Capital Improvement Plan was adopted by the City Council Tuesday, June 4.
While revenue growth in Scottsdale remains strong, the budget is a 9.4% net decrease from the current fiscal year. This reflects projected declines in residential rental tax and state shared revenues, continued inflation, and a slowdown in consumer spending.
The budget, which goes into effect July 1, takes a fiscally cautious approach to the year ahead, focusing expenditures on covering inflationary increases impacting capital projects, ensuring the city remains a competitive employer among peer cities, and improving public safety services by staffing a new fire station and launching city ambulance service.
Scottsdale’s budget is balanced and conservative, funding core services and community priorities, continuing high service levels, and keeping taxes and fees low.
Investing in the community and city workforce
The budget funds recommendations from a comprehensive classification and compensation study to help employees face persistent inflation costs and help the city retain and recruit top-quality people. Among the 2,700 city staff funded in FY 24/25 are 56 new positions in the fire department, added to improve services to residents, visitors and businesses through staffing a new fire station and introducing the first phase of new Scottsdale Fire Department ambulance service.
Key projects in the FY 2024/25 Capital Improvement Plan include expanding Granite Reef Senior Center, renovating Cactus Pool and the Via Linda Police Station, and completing Fire Station 612 in the Scottsdale Airpark area.
Scottsdale’s reduced property tax rate is among the lowest in the Valley
The city's adopted FY 2024/25 primary property tax rate is $0.4958 per $100 of a property's assessed value. The secondary tax rate, which pays down debt on voter-approved bonds, is $0.4358 per $100. At $0.9316, Scottsdale’s combined FY 24/25 property tax rate is 5% lower than the current levy, and among the lowest in the Valley. City property taxes comprise 15% of a property owner’s total property tax bill (57% goes to schools/education, 18% to Maricopa County, and 10% to special districts).
For more information about the city’s property tax levy, review the June 4 City Council report here (PDF).
At 8.05%, sales taxes in Scottsdale are also among the lowest in the Valley as well. The city’s portion of that total rate – 1.75% - is lower than all but two of the city’s Valley peers.
Review Scottsdale’s adopted Fiscal Year 2024/25 budget here.