Marana Adopts $560.2M Tentative Budget for FY2027, Anchored by Accelerated Road and Water Projects

MARANA — The Marana Town Council unanimously adopted a $560.2 million tentative budget for fiscal year 2026-2027 at its regular meeting Tuesday, a $57.3 million increase over the previously recommended figure driven largely by the acceleration of major capital infrastructure projects.

Finance staff told the council that the budget increase was not a net addition to the town's five-year capital plan, which actually decreased slightly from just over $563 million to just under $563 million. Rather, the jump reflects the earlier-than-planned movement of several large projects into fiscal year 2027. The Tangerine Road widening — previously programmed for fiscal years 2028 and 2029 — was moved up following the passage of a Regional Transportation Authority measure, finance staff said. Similarly, funding for recharge basins tied to the water reclamation plant expansion was pulled forward, as construction is now expected to begin within months. The North Marana Sewer Interceptor budget was reduced because that project is also advancing faster than originally anticipated.

Vice Mayor Roxanne Ziegler questioned a $2.4 million addition tied to a downtown development project, asking why it had not been captured in the initial recommended budget. Finance staff acknowledged the omission, explaining the town had initially included one funding source for the downtown infrastructure reimbursement agreement but had left out a second. That amount, staff said, would be used to reimburse a developer for eligible road and infrastructure work the town is contractually obligated to fund. The council approved the tentative budget unanimously. The formal adoption process will continue as required by state law.

Marana Regional Airport Receives $800K Federal Grant for Control Tower Design

Town Manager Terry Rozema announced Tuesday that Marana Regional Airport has been awarded $800,000 in federal funding to design a control tower — a milestone Rozema said the town has pursued for years.

"What comes immediately after design is construction," Rozema told the council, adding that the award had just been announced. He did not specify the federal agency or program behind the grant. No vote was required on the item, as Rozema included the announcement in his manager's report.

Town's Third-Quarter Finances on Track; Bed Tax Fund Shows Deficit Tied to Back-Dated State Land Lease Payment

The town's general fund had collected 83% of budgeted revenues through the third quarter — July through March — of fiscal year 2025-2026, with retail sales tax offsetting softer construction-related tax receipts, finance staff reported.

Finance staff noted that Highway User Revenue Fund revenues were slightly behind target but were expected to recover by year's end. Water fund commodity revenues came in at approximately 74%, with the water reclamation fund slightly above 75%. Council Member Patrick Cavanaugh asked about a shortfall in the bed tax fund, where expenditures significantly exceeded revenues. Finance staff explained the gap was not caused by declining hotel activity but by a $450,000 back payment to the state for a land lease. A state agency had recalculated lease payment increases dating back to 2005 — nearly 20 years — and determined the town owed the additional amount due to an error in the original calculation. Finance staff said the payment had been made.

Comprehensive Fee Schedule Amendments Approved, Effective July 1

The council unanimously approved amendments to the town's comprehensive fee schedule, with changes set to take effect July 1, under Ordinance No. 2026.009 and Resolution No. 2026-034.

Finance staff said the amendments — first presented to the council at its March 3 meeting — remained unchanged from that presentation. The revisions include some fee increases, new fees, and clarifying language intended to better align costs with the work required for reviews and permitting. Staff said the changes were not expected to produce significant shifts in overall town revenue.

Public Comment Centers on Data Centers, Immigration

Three members of the public addressed the council during the call to the public, with two speakers touching on policy debates that have drawn repeated public attention at recent meetings.

A representative of the Arizona Technology Council urged Marana residents to engage directly with data center developers before drawing conclusions, arguing that the industry has improved its water and energy practices significantly over the past 15 years. A second speaker read from what she described as pages of names of people she said were killed by undocumented immigrants, framing the remarks as a counterpoint to what she characterized as disproportionate media focus on immigration enforcement concerns. A third speaker, Jackie Craig, announced she is a write-in candidate for Marana Town Council and praised both council members and town staff.

Also discussed:

The Twin Peaks/Rattlesnake Pass roadway project was named Project of the Year by the Arizona Public Works Association in the $25–$75 million category; Rozema noted the project finished ahead of schedule and under budget.
The project also received a Common Ground Award from the Metropolitan Pima Alliance, along with the Marana Aquatics and Recreation Center.
Honea Heights Neighborhood Park will close through the summer for Phase II improvements including a full-court basketball court, shade structures, and restrooms.
The Arizona Legislature remains largely in a holding pattern, though the governor lifted a recess order; the House is set to reconvene next week and the Senate on June 1, Town Manager Rozema said.
Council Member Patrick Cavanaugh reported he was bitten by a rattlesnake two weeks ago and thanked Northwest Fire for their response.
Vice Mayor Ziegler announced a flag-placement event at the Veterans Memorial Cemetery on Friday at 8 a.m. ahead of Memorial Day, with a formal service Monday at 8 a.m.
Through May 19, the town had issued 51 single-family residential permits for the month, compared to 92 for the same period in 2025.