Denver’s budget crisis has caused layoffs for city workers and has begun affecting services for residents. Now Mayor Mike Johnston and the City Council are negotiating over just how much city services should be cut.
Johnston outlined his budget proposal for 2026 in September, including savings of about $77 million from cuts to contracts, services and supplies.
The need for savings comes from an estimated $200 million budget shortfall for next year caused by slowed revenues and higher costs. In August, the city laid off 169 workers and slashed hundreds of vacant positions to make up for part of that shortfall.
Late last week, the council sent Johnston a letter outlining requested adjustments to that proposal. Under the city’s budget process, he has until Monday to respond.
Here are several budget impacts that Denverites might notice — some of which the council has asked the mayor to change in his proposal.
Parking ticket dispute changes
Denver County Court officials laid off all of its parking magistrates and closed that office in August after Johnston asked the office to reduce its 2026 budget. That means that the only way to dispute parking tickets now is to set an in-person hearing in the Denver County Court.
Previously, residents could dispute parking citations through an online portal or by visiting an office. Residents were able to file online appeals through mid-September until that option was eliminated.
Eleven of the 12 council members who were present during last week’s deliberations about recommended budget changes voted to request that Johnston restore funding for the magistrate positions.
Fewer ballot boxes, polling centers
Clerk and Recorder Paul López has criticized the mayor for proposing a 1.5% cut to his office, representing about a $210,000 decrease, for 2026 compared to its budget this year. He points out that next year’s midterm election and primaries will cost much more to conduct than this fall’s off-year election.
The amount proposed for 2026 would mark a reduction of nearly $4.5 million, or 24%, from the 2024 budget, when there was a presidential election. But the proposed amount is also 3% higher than the clerk’s budget was in 2022, the year of the last midterm election.
Lopez has said that if Johnston’s proposal stands, he will have to close one polling center and eight ballot drop boxes for the 2026 general election. He also said the hiring of fewer staff members would result in slower ballot processing, longer lines and delayed election results.
Ten council members voted to support asking the mayor to add $2.5 million to López’s budget, which would be in addition to $1 million in unspent money from this year’s budget that could roll over.
Reduction in 311 hours
The city’s 311 call center will be available only from 7 a.m. to 5 p.m. each day, instead of until 7 p.m., under a proposed cut. The city recently deployed an artificial intelligence-powered chatbot, called “Sunny,” to take residents’ questions or reports, and Johnston says Sunny can fill the gap for 311 during other hours.
Recreation center child care
Denver Parks and Recreation decided recently to discontinue child care services offered at the Carla Madison and Central Park recreation centers.
Stephanie Figueroa, a spokeswoman for the department, said the decision was made independent from the city’s budget situation, but she said the program provided “limited community benefit relative to the costs incurred.”
“The decision aligns with the broader goal to ensure resources are directed toward services and initiatives that deliver the greatest value to our residents,” she wrote in an email.
Rental assistance pauses this year
Johnston’s administration opted to halt the Temporary Rental and Utility Assistance program for the rest of the year as part of his cost-savings proposals, shifting more money to next year. The program provides money to help residents avoid eviction.
“This pause is part of a broader strategy to preserve resources and ensure we can continue serving households most at risk of homelessness,” said Julia Marvin, a spokeswoman for the Department of Housing Stability, or HOST. “Not all evictions result in homelessness, and with limited resources, it’s prudent to serve those who are truly most in need.”
HOST sent out a temporary stop-work order to its providers in September, and officials said they intended to roll over the remaining $9 million allocated for this year into next year’s budget. The city now is set to spend $14 million on the program this year and $12.2 million next year, Marvin said.
Nine council members voted to ask the mayor’s office to instead roll over only $5 million from this year, leaving more to spend on assistance this fall, and add $7 million to next year’s budget, bringing the total spending next year to $15 million.
The city has provided financial assistance to 1,500 households so far this year, Marvin said.
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