(COLORADO SPRINGS) — Colorado Springs’ 2025 Budget is seeing a $11.5 million gap, with 9 million of it coming from a Sales Tax Revenue shortage. Now that we are halfway through the year, the City will have to make some changes to its budget to help bridge the gap.

The Financial Officer for the City of Colorado Springs. Charae McDaniel said, “The revenue shortfall that we’re seeing this year is similar to what we’ve seen in the last couple of years.”

With 60% of the City’s budget funded by sales tax revenue, the City is starting to shift money around.

“It really is up to the departments how they want to create that expenditure savings. Each department director really is the one best suited to make those decisions.” McDaniel commented.

3.5% cuts to some departments will hopefully ensure the necessary funding doesn’t take as big of a hit, like first responders.

“We recognize that public safety is our number one priority, and we don’t want to impact, particularly those sworn, and their service to the community.” McDaniel said, “That’s our number one priority.”

The City closely monitors the budget throughout the year.

McDaniel commented, “It’s not a hard stop on all spending. We’re not to that point right now.”

With sales tax revenue being down across the board, other cities like Denver and Pueblo are facing Similar Problems.