CHANDLER, Ariz. – The Chandler City Council issued policy direction to proceed with a proposal to lower the city’s primary property tax rate in the fiscal year 2025-26. Doing so, would mark the 10 consecutive year of lowering the city’s property tax rate. The City Council will vote on the property tax rate during its June 26 meeting.
This decision highlighted a six-hour budget briefing held on May 2 as the City Council reviewed each city department’s operating budget requests and proposed capital improvement projects for next fiscal year.
The proposed budget equips Chandler to provide high-quality services and infrastructure while maintaining the lowest sales tax rate in Arizona. The city’s general fund operating budget is primarily funded by local sales taxes and state shared revenues.
Priorities in the operating budget will sustain existing service levels while managing inflation-driven cost increases. Recommended expenditures will focus on public safety, city infrastructure, technology projects, quality of life enhancements and neighborhood services.
Chandler continues to be recognized for sound budgeting practices that support the city’s financial stability. This includes maintaining strong financial reserves and a structurally balanced budget where ongoing revenues cover ongoing expenditures and one-time revenues are used for one-time expenditures.
The City Council also reviewed proposed projects in the upcoming capital improvement program. Recommended investments include developing the first phase of Mesquite Groves Park, updating Dr. A. J. Chandler Park and improvements to existing parks. Additional projects include building a Chandler Police Forensics Facility, repaving city streets to maintain and improve pavement quality, improving bike lanes, widening sections of Lindsay and Alma School roads in south Chandler and updating Chandler’s water and wastewater facilities.
Chandler’s AAA bond ratings from all three rating agencies help keep financing costs low, producing savings for taxpayers when financing major capital improvements. About 70 percent of Chandler’s capital projects are funded through bonds. A special bond election will be held on Nov. 4 to seek voter authorization to fund investments in future years for streets, public safety and parks and recreation.
The City Council is scheduled to vote on the tentative adoption of the budget and capital improvement program at its May 22 meeting. A public hearing and City Council vote for the final adoption of the budget and capital improvement program is scheduled for June 12.
Learn more about Chandler’s Proposed Budget and Capital Projects.