Raymond C. Lee III's Email

Written by Istana Castillo on June 28th, 2025 at 10:50 p.m.

At 5:18 p.m. on Friday, June 20, 2025, Greeley City Manager Raymond C. Lee III issued a weekly update email via the City of Greeley bulletin newsletter. Mr. Lee writes, "...leaders across the city have been asked to come up with ways to reduce current departmental spending and funding requests for next year to help close a projected budget gap." He stated that these measures are to protect current city employee jobs and annual wage increases, while simultaneously "continu[ing] to deliver our high level of city services..."

Mr. Lee asked leaders to defer, delay, pause, or limit projects and programs. The goal is not to impact critical and core programs. Mr. Lee referenced Colorado's $1.2 billion budget cut and Greeley's projected sales tax revenue as contributing factors. The local effects of this budget cut include a loss of $14 million (≈approximately 5% of the budget) to District 6 education, as well as a loss of $114 million or more to transportation and infrastructure, including state highways and local grants. There is also reduced support for workforce development and social services.

"In Greeley, we have had many years where revenue and expenses were aligned." Mr. Lee wrote. "We’re taking these actions now so that this misalignment will be temporary, and we can continue to build a thriving local economy to drive sustainable revenue for decades to come."

While he dismissed the idea that any one project was responsible for the current financial strain, Lee pointed to broader spending on city programs, technology upgrades, and workforce expansion as contributing factors.

The City of Greeley will implement a flat budget for this fiscal year and the next, enforce a hiring freeze, and cancel or delay city programs deemed nonessential.

"Happy Friday, City of Greeley,

I wanted to make sure that everyone is aware that leaders across the city have been asked to come up with ways to reduce current departmental spending and funding requests for next year to help close a projected budget gap. This is never an easy exercise, but I want to emphasize that this is a proactive step to manage expenses, to ensure we can present to council a balanced budget for 2026.

We are adamant about protecting our employees – to protect current jobs and annual increases – and to ensure we continue to deliver our high level of city services to our residents. We’re asking leaders to look at projects or programs that can be delayed, paused, or deferred, and to make the suggested actions in areas where pauses or delays will not impact critical maintenance or core programs.

How did we get here? As background, you may have been reading about cities across the state that are facing budget challenges, and the reasons are what we’re seeing in Greeley as well: lower than expected sales tax revenue due to economic uncertainty that’s being felt across the country and reduced spending by consumers. Budgets are also taking a hit because of the cancellation of federal grants, reducing the amount of support to states and municipalities. (For more on the impact in Colorado, check out this dashboard created by the office of Governor Polis.)

In Greeley, we have had many years where revenue and expenses were aligned. We’re taking these actions now so that this misalignment will be temporary, and we can continue to build a thriving local economy to drive sustainable revenue for decades to come.

Let me also make clear – this is not caused by any one project. It’s a result of increased costs of programs and necessary technology upgrades, as well as by increases over the past several years in our workforce, individuals who are playing an essential role in supporting city services that all of us in city government and all who live here appreciate, depend on, and use daily.

One step we are taking now is putting a temporary pause on posting new open positions. Jobs that are already posted will move forward. If there are positions not yet posted that need to be filled, managers should consult with their talent acquisition partner and need to get approval from their CMO leader.

Here are some dates to keep in mind and upcoming opportunities to learn more. We are asking department heads to provide their input by July 4. On July 8, members of the CMO and budget team will attend a budget retreat with city council where we will discuss council priorities for the year ahead. On Monday, July 14, we will be hosting a City Chat from 11 to noon. And I will also provide updates as the budget process continues.

Once again, protecting our people is of paramount importance. On behalf of the entire CMO, thank you for your dedication and commitment to the city. I appreciate you all.

Raymond"

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