Big Plans, Smart Budgeting: What’s Next for Maricopa?

Published on February 06, 2025

Maricopa has invested more in infrastructure and roadway improvements in the last three years than in the previous 18 combined—and this upcoming fiscal year will be no different. Today, the City Council’s Budget and Finance Subcommittee reviewed the latest draft of the Capital Improvement Project (CIP) Plan, a roadmap for the city’s key investments.

The ten-year CIP plan, updated annually with Council approval alongside the city’s operational budget, ensures the city can adapt to evolving needs while maintaining financial stability. This year’s proposed updates not only focus on roads and public safety but also invest in parks, recreation, public art, and other quality-of-life enhancements—keeping Maricopa a great place to live, work, and play.

Want to see the current CIP plan? [Click here.]

State Influence on City Revenues

Maricopa, like all Arizona cities, operates within a framework where the state has administrative control over local revenue sources. Recent legislative changes have impacted select funding streams, requiring the city to be even more strategic in its financial planning.  Updates to state income tax rates and the state legislature’s decision to eliminate certain sales tax rates have reduced the City of Maricopa’s annual state shared revenue base by an estimated $5 million per year. 

However, direction from the City Council to diversify revenue sources and entice new businesses to come to the city has helped offset some of these challenges.

Doing More with Less

Even with these proactive measures, Maricopa continues to operate on a significantly smaller budget than other cities of similar size and growth.

“When you compare our revenue sources to cities of similar size and growth, the difference is staggering,” Kozlowski explained. “Comparable high growth cities in Arizona that are regularly competing for contractors, vendors and employees bring in anywhere from $23 million to $117 million more in annual sales tax revenue than we do. That means we have to be incredibly strategic with every dollar to maintain the high-quality services and delivery of capital projects that our residents expect.”

A Legacy of Financial Stewardship

Maricopa’s long-term financial planning has allowed it to maintain a strong financial position while continuing to invest in roads, public safety, and community amenities.

“Reducing property taxes for six consecutive years while still funding critical projects is no small feat, and it speaks to council’s strategic approach and dedication to long-term sustainability,” said Kozlowski.

What’s the Next Steps for This Year’s Budget

The Budget and Finance Subcommittee will meet again in April to continue reviewing and refining the proposed budget. Following that, the tentative budget will be presented to the City Council for review and tentative approval, as well as posted online for public review in early May.

In early June, the final budget will be presented to the City Council for approval, and the finalized budget will be posted on the city website for all residents to view.

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