Colorado Springs’ Financial Health Strengthens, Earning a “B” Grade

Colorado Springs’ financial condition improved in fiscal year 2023, earning the city a “B” grade from Truth in Accounting. With a $155.2 million surplus, Colorado Springs remains classified as a “Sunshine City,” meaning it has more than enough money to cover its financial obligations. This equates to a Taxpayer Surplus™ of $800.

The city’s financial position strengthened by $140.8 million, driven by higher revenues and a reduction in pension liabilities. The city’s share of the Public Employees' Retirement Association (PERA) debt declined, benefiting from a 13.4% unrealized gain on plan investments. However, public safety costs increased by $58.2 million due to the addition of 15 new police officers and 32 new fire personnel, increasing long-term operational expenses.
Key findings from the report include:

• Colorado Springs had $2.2 billion available to pay $2.05 billion in bills.
• The city’s financial surplus grew to $155.2 million, equating to an $800 Taxpayer Surplus™.
• Higher revenues and reduced pension liabilities strengthened finances, while rising public safety costs added new expenses.

As Colorado Springs continues to grow, balancing fiscal responsibility with investments in critical services like public safety will be essential to maintaining economic stability.

For those interested in a deeper dive into Colorado Springs’ finances—and how it compares to other major U.S. cities—you can read the full Financial State of the Cities 2025 report here.