"Why am I making a point of it? Because I just cannot get over it."”

Central City Councilman Zane Plsek

CENTRAL CITY - The Central City Council adopted its 2026 Budget and Five-Year Capital Improvement Plan on Tuesday night after a detailed public hearing, returning to long-running discussions about declining gaming revenue, nonprofit funding, and urgent needs within the City’s water system.

The budget resolution, 25-37, also the 2025 property tax mill levy at 9.631 mills and authorizes the City Manager and Finance Director to certify it with Gilpin County. The vote passed 3 - 2, with Councilmember Zane Plsek in opposition.

City Manager Daniel Miera opened the hearing with a summary of the City’s months-long budget process, noting, "We always make sure to remind everybody that we do present, as is required, a balanced budget." He pointed to strong reserves, the retirement of long-term debt, and a year filled with extra work sessions and retreats.

2026 budget overview

The plan projects $9.45 million in revenue across all funds and $11.1 million in expenditures, a gap largely explained by a planned $2 million allocation in the Public Property Development Trust Fund. Without that single capital expense, expenditures would come in just below revenues.

The General Fund is expected to end 2026 with a $3.6 million balance, keeping required reserves intact. Staff noted the final payoff of the 2014 State Infrastructure Bank loan and continued progress on the zero-percent water loan issued in 2018.

Despite the City’s stable financial footing, gaming revenue remains a concern. Device counts and gaming tax totals have been trending downward and remain below pre-pandemic levels.

The 2026 plan continues the City’s $100,000 nonprofit allocation, divided evenly among the Gilpin County Arts Association, Gilpin Historical Society, Central City Opera, and Main Street Central City.

Fire staffing, and workforce housing

The budget includes new fire staffing and initial costs related to future fire facilities. It also includes funds for targeted property acquisition intended to support workforce housing efforts.

Nonprofit funding debate returns

During council discussion, Plsek again questioned the city’s $100,000 nonprofit funding line, a recurring point of tension at previous meetings.

"I have still got an issue with the nonprofit funding," he said. "I realize that it is a small percentage of the overall budget. I get it. Why am I making a point of it? Because I just cannot get over it."

Plsek cast the lone no vote on the budget, saying he could not support it because of how those dollars could be redirected to other community needs.

He noted inconsistent participation from organizations asked to submit profit-and-loss statements and questioned whether the funds could instead support roads, sidewalks, or fire needs.

"What else could we possibly spend it on?" Plsek asked." What road can I fix? What sidewalk can I fix?"

Councilmembers acknowledged that the city intends to implement a more structured matching-fund system for nonprofit allocations in 2027.

Consent agenda

The council unanimously approved the consent agenda, which included:

1. Bill lists through November 13, 2025

2. November 4 City Council Minutes

3. Ratification of HPC 25-08, approving a Certificate of Appropriateness for a new two-story Gothic Revival home at 201 Burt Street

During the brief discussion, members jokingly attempted to remember where Burt Street was located before approving the item.

Budget approved

Following the budget hearing, the council formally approved the 2026 Budget, the Five-Year Capital Improvement Plan, and the 2025 mill levy. The budget will be filed with the Colorado Department of Local Affairs by January 30, as required.

Water system challenges take center stage

Earlier in the afternoon, the council held its final budget work session, dominated by a presentation from Nick Worley on the City’s developing Water Master Plan.

Worley laid out projected peak-demand curves and explained that under all growth scenarios, the City’s existing treatment plant capacity will fall short of need by about 2030. 

He said, "With what this slide is showing, all three of those growth rates by the time you get to 2030 have exceeded the existing water treatment plant capacity."

The council reviewed the water section of the Five-Year Capital Improvement Plan, which outlines nearly $42 million in total capital needs over the next five years. The majority of those costs relate to water storage, treatment, and distribution upgrades scheduled for 2029 and 2030.

Staff stressed that state review and approval of new water treatment facilities can take years once design work begins. The City will also need financial participation from future large-scale development to help pay for system expansion. They discussed tools such as tap fees, participation agreements, and project-specific contributions tied to demand.

Worley also reviewed water rights and noted that the City holds ample rights but lacks the infrastructure to treat and deliver the water. 

Quartz Valley project update

The Jefferson Conservation District provided an update on the upcoming Quartz Valley Forest Restoration Project, intended to reduce wildfire risk and improve forest health on approximately 80 acres. The project involves thinning and hauling woody material using limited truck trips expected to cross City-maintained roads.

Public comment

Kathleen Ashbaugh of Spring Street suggested some of the cut wood from the Quartz Valley project be left in the community for residents who heat with wood. She also asked about what happens next with the sexually oriented business on Main Street, saying the election results made the community’s stance clear, and questioning whether the vote was “just a straw vote and it doesn’t mean anything.”

Rebecca Blondo of Eureka Street followed with detailed concerns about the same business. She read from the City’s municipal code and argued that dancers wearing transparent latex do not meet the requirement for fully opaque clothing. She asked when the City planned to shut down what she called “the illegally operating cabaret” on Main Street and questioned how long enforcement would take.

Executive session

The council concluded with an executive session to discuss potential real estate matters related to properties near the Parkway, Russell Gulch, and 117 Eureka Street (Washington Hall), as well as legal consultation concerning the November 4 Special Election results and enforcement actions at 130 Main Street.

The next regular Central City Council meeting is scheduled for December 2, 2025, to be held at City Hall and accessible online at centralcity.colorado.gov/meetings.