The council had proposed about $26 million in changes to restore services, staffing and programs affected by earlier cuts. Johnston’s revised budget, released Monday, includes about $4.2 million in funding for Denver Health, business assistance, community events and city offices, along with positions including 10 emergency communications workers, three 311 call-takers, two park rangers and three inspectors.

He declined the council’s requests for an additional $5.5 million for rental and utility assistance, $2 million for another Denver Sheriff’s Department recruitment class, and an $8.9 million shift of transportation funds to street-safety projects.

The city expects only $17.5 million in new revenue in 2027, a 1.1% increase, bringing the General Fund to $1.684 billion. Johnston has said most of the limited growth is intended to cover a 2% merit increase for city employees, leaving little room for additional spending.

To cover the changes he accepted, the administration plans to use the contingency reserve, existing department budgets and other funding. The revised plan lowers the reserve from 2.06% to 2.01% of General Fund expenditures, barely above the city charter’s 2% minimum. The administration has not provided a full breakdown of how much each funding source will contribute.

The reserve is already under pressure. City Council approved more than $20 million in transfers from it this year to help cover legal claims, including costs related to the Denver Police Department’s response to the 2020 George Floyd protests. Councilmember Shontel Lewis has warned that money used for claims cannot also support city employees and services.

One of the largest unresolved issues is eviction prevention. Council members sought another $5.5 million for the Temporary Rental and Utility Assistance program, which helps residents facing eviction. Denver recorded 15,953 eviction filings, well above the 6,600 annual target in the Department of Housing Stability’s strategic plan. The department’s proposed 2027 budget includes about $7 million for eviction prevention.

Johnston said the program will start 2027 with $4.5 million and that the city will reconsider future funding after a Harvard University evaluation expected in the spring. He also turned down the proposed $2 million for an additional sheriff recruitment class, saying two classes are already funded. He left open the possibility of supplemental funding if enough recruits are available to expand those classes or add another.

Johnston did agree to provide Denver Health with about $2 million in additional support for Denver CARES, a nearly 50-year-old program offering withdrawal management and residential treatment for people with substance use disorders. Denver Health absorbed about $5 million in costs after city funding stopped in 2026, and its CEO, Donna Lynne, had warned that the health system could not continue covering the expense indefinitely.

The city’s support includes $1.4 million from its climate office for energy improvements at Denver Health facilities, about $566,000 from the Department of Safety for emergency services and employee raises, and $35,000 for sexual assault nurse examiners.

The mayor also agreed to make as much as $2 million available through the Business Impact Opportunity program, which assists businesses affected by city construction. The money would come from interest on a former federal pandemic-relief grant, the General Fund contingency reserve and existing economic development funds.

The 10 additional emergency communications positions will be funded through projected growth in the city’s 911 surcharge revenue. The commitment follows council concerns about longer response times. Officials have pointed to a rise in employee leave, while Denver 911 Director Andrew Dameron cautioned that simply adding staff would not resolve every delay.

Johnston also agreed to add three 311 call-takers and two park rangers, and to increase funding for the Office of the Independent Monitor and the Municipal Public Defender. He declined to immediately fill other requested roles, including sheriff’s office case managers, crisis-response workers and transportation staff, saying the city would prioritize those positions as vacancies arise.

The mayor also committed to working with council members on concerns about the city transportation department’s performance and structure, and communication between the Office of the Independent Monitor and the Department of Safety. City Council must still approve the 2027 budget.