Palmer Lake cuts 2026 General Fund appropriation by $1.35 million, adopts 2027 budget

Palmer Lake’s Board of Trustees adopted a 2026 budget amendment and the town’s 2027 budget Nov. 12. The amendment lowered the General Fund appropriation by $1,351,912, from $6,337,930 to $4,986,018, under Resolution 45-2026.

The resolution estimates the town will use $728,289 in General Fund reserves by year-end. That projected reserve use is separate from the amount of the appropriation reduction. The amendment removes the Spruce Mountain project and a land sale, which the resolution says did not take place in 2026. A November staff memo says the original budget included about $382,000 in expected revenue from a proposed land transaction that did not occur.

The 2027 budget appropriates $5,348,238 from the General Fund and $1,094,156 from the Water Operating Fund, as set out in Resolution 44-2026. The resolution requires the Water Enterprise Fund to remain financially separate from the General Fund. The Board will set the property-tax mill levy in a separate action. The resolution estimates about $70,573 in General Fund reserve use for 2027; that is not an appropriation.

Staff forecasts for the 2027 budget changed during the process. A November budget memo says reorganizations, staffing changes and spending reviews reduced an initial projected deficiency of nearly $500,000 to about $35,000. Updated assessed-valuation information received Nov. 9 raised the estimate to about $75,000. The final resolution’s $70,573 reserve-use estimate is distinct from those earlier forecasts and from the adopted appropriations.