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LOCAL COLUMN

OPINION: Mayor Keller didn't cut $35 million. He moved it

Published

Albuquerque is being told that the mayor’s proposed fiscal year 2027 budget includes “$35 million in cuts.” That claim has been repeated in media coverage and public messaging. But it’s not accurate.

I appreciate that the mayor is attempting to show restraint. That’s a step in the right direction. But the way this budget is being presented to the public is misleading — and Albuquerque residents deserve better.

The City Council’s most fundamental responsibility is simple: allocate taxpayer dollars responsibly. The mayor’s primary responsibility is to give the city a good return on their tax dollar. So, starting with the most basic question: Will Albuquerque spend less next year to run day-to-day operations? Based on the mayor’s own budget documents, the answer is unequivocally no.

In fact, the city is projected to bring in approximately $21 million more in revenue, while increasing operating spending by about $6 million. The budget is growing, not shrinking.

So where does the “$35 million in cuts” claim come from? It comes from looking at the entire budget across all funds and blending reductions, reallocations and accounting shifts. A significant portion involves moving expenses out of operating budgets and into capital budgets. That’s not a real cut. That’s a shift. It’s the equivalent of saying you reduced your household spending because your checking account balance went down — when you paid for things out of your savings account instead.

Other changes include reducing transfers between internal funds and adjusting enterprise funds like Transit and Solid Waste. These are accounting decisions — not reductions in the cost of running city government. Meanwhile, the city continues to fund pay increases, maintain service levels and expand departments. Some department budgets decrease — but others show huge increases. The bottom line is much of that $35 million didn’t disappear — it just moved columns.

But there’s a bigger issue here. The administration has labeled this budget “structurally balanced.” Yet their own long-term forecast shows spending exceeding revenue starting as early as next year. That gap grows, reaching approximately $70 million by fiscal year 2030. The question isn’t whether $35 million was “cut.” It wasn’t. The question is what the plan is to close a growing structural gap before it begins to impact services. This isn’t a one-year problem. It’s a long-term trajectory — and it’s heading in the wrong direction.

For years, this administration has increased taxes, raised fees and expanded government — spending all new revenue. Programs initially funded with one-time federal COVID dollars have been allowed to grow into permanent obligations without sustainable funding sources.

At the same time, Albuquerque residents are not seeing the results they were promised. Crime remains a major concern. Homelessness continues to challenge our city. And families are feeling the pressure of one of the highest overall tax burdens in the nation. The mayor has built a larger, more expensive city government — but without the outcomes to justify it.

Albuquerque doesn’t need more messaging. It needs a plan. Residents deserve honesty about where we are financially, and a serious strategy for where we are going. The city is bringing in more money and spending more. The real question is what happens next.

Dan Lewis represents District 5 on the Albuquerque City Council.