Aspen City Council discussed final 2025 budget items before approval Nov. 12

On Oct. 28, the Aspen City Council reviewed a wide range of budget items, detailing the allocation of funding for city departments, public services and infrastructure.

The council directed staff to remove the Bike Skills Trail project from the parks and open spaces budget, consistent with its focus on fiscal responsibility and prioritizing core city services.

The council has not said whether the cycle route will be considered based on a supplementary request or whether it will be included in next year’s budget.

In the parking and transportation sector, the Council addressed the problem of uncollected parking fees and evaluated future options for expanding e-bike subsidies and bike sharing programs to support Aspen’s “first and last mile” transportation solutions. These initiatives are part of the ongoing Aspen Gets Us There project, which aims to improve sustainable transportation options.

The Department of Environment and Climate Action proposed a budget of $122,310 for the single-use bag program to cover the distribution of reusable bags, e-waste collection activities and staff costs.

This program is a key part of Aspen’s broader climate initiative, which reflects the city’s commitment to reducing waste and supporting environmentally friendly practices. In addition, the Renewable Energy Reduction Program (REMP) Fund continued to support initiatives aimed at improving energy efficiency and sustainability in both the public and private sectors.

The issues of water supply and electricity supply also occupied an important place in the discussions of the Council. The utility sector places increased emphasis on infrastructure sustainability, energy conservation and service reliability, reflecting Aspen’s long-term goals for a sustainable city.

Funding considerations included ongoing projects to upgrade water treatment facilities and invest in upgrading the electricity grid to meet the growing needs of the community.

Housing funds were also a key priority, especially the Workforce Housing Program, which addresses the housing needs of Aspen’s workforce.

The board reviewed a $600,000 one-time stipend pilot program aimed at employee retention through housing financial assistance. This program is new and focuses on employees outside the subsidized units and seeks to include a 30% down payment that will have a repayment program over 30 years.

The City Council raised the issue of the misuse of $600,000.

City Councilman Bill Guth called it presumptuous to include in the 2025 regular budget.

“We have not discussed the concept of the scheme, let alone the details,” he said. “I don’t think it’s appropriate to do it now. This can always be done as a spring additional request, or in the fall. I think it sets a bad precedent for allocating funds to concept funds that have not even been presented to us.”

City Councilman Ward Hauenstein agreed with Guth.

“There are more than $50,000 in expenditures to be approved by the City Council, and $600,000 is being requested, but we don’t know what they’re going toward,” Hauenstein said. “I would prefer to put it in a supplemental request after we have a work session on it.”

The board will hold a work session on Nov. 11 to discuss the scholarship and decide if they want to include it in the 2025 budget or wait to table the funding as a supplemental request later in 2025. The work session will include getting more information on where the money that will provide the staff will go.

The fiscal year 2025 budget also provides funds for capital repairs to city housing and support for small down payment and rental assistance programs.

Arts and culture funding included appropriations for the Wheeler Opera House and Red Brick Arts, which continue to serve as vital cultural centers in Aspen. These institutions will receive funding for both ongoing programs and facility maintenance, furthering Aspen’s commitment to cultural enrichment.

Another important component of the budget — the Kids First fund — received funds for personnel training, increased costs for communal services and maintenance of the premises of children’s institutions.

This fund supports Aspen’s childcare needs, with a significant portion going toward training and program support. Similarly, state education funding supported by a special 0.3% sales tax supports Aspen Family Connections and other community initiatives, with discussions to extend the tax after it expires in 2026.

This tax has a provision to terminate the tax after five years.

City Councilman Sam Rose wondered why the city didn’t ask for more for childcare needs.

“I know there’s a huge gap,” Sam Rose said. “I know there’s a big child care crisis here in the valley.”

City Manager Sarah Ott said the City Council approved everything Kids First asked for, and if they had asked for more, they would have received more.

“Kids First employees agree and continue their savings, which will be used for the newly constructed facility in the future,” Ott said. “That is why the City Council has left the Affordable Housing and Child Care Tax as it is at 90%, which goes to the Kids First fund. The Council’s policy is to build up savings for a possible construction project.”

The board also reviewed debt service obligations, including payments for important city projects such as the Aspen Police Department and the new City Hall. These debts are managed within the limits of Aspen’s total debt obligations with careful forecasting of the long-term fiscal position.

Mayor Torre asked if these debts could be paid off early. Peter Strecker, Aspen’s chief financial officer, said some debts will not be able to be paid off early because of the loan structure, but there may be some debts that can, which will save the city money by not having to pay as much interest. The city is currently $6.3 million in debt.

At the same time, tourism incentive funds from the lodging tax will continue to support initiatives such as Winterskol, Food & Wine and tourism centers, increasing Aspen’s appeal as a premier destination.

Aspen’s IT department has submitted a $3.4 million budget proposal to strengthen cybersecurity, network infrastructure and software services. Proposed projects include upgrading the fiber optic network and improving the backup system, underscoring the department’s commitment to a robust digital infrastructure that supports the city’s operations.

As the board moves toward finalizing its FY25 budget, the board said the appropriations illustrate a balanced approach that addresses urgent housing, infrastructure and environmental needs while preserving Aspen’s cultural and educational investments.

The next meeting of the Council is scheduled for November 12, where they will approve the final budget requests for 2025.