The Gunnison City Council approved an $82,225 contract with the Gunnison Country Chamber of Commerce for Visitor Center operations at their February 24, 2026 meeting. Council directed staff to eliminate the city’s telephone utility tax, which generates just $1,500 annually from declining landline use while costing more to administer. Council voted to oppose Senate Bill 26-1024, which would preempt local drone regulation authority, citing concerns about home rule powers. Three council members opposed House Bill 26-1001 regarding nonprofit housing development exemptions from local land use codes, while two preferred monitoring the bill’s progress. Council delayed action on Senate Bill 26-070 concerning law enforcement access to license plate reader data until their March 10 meeting. City staff welcomed Alicia Sandstrom as the new Senior Center Coordinator and announced Western Colorado University received a $2 million federal grant.
Legislative Budget Crisis
Councilor Schwartz reported Colorado faces an $800 million budget shortfall this year following last year’s $1 billion shortfall. The state made easy cuts last year, meaning this year’s reductions will have more serious effects on programs statewide. Medicaid costs are growing at twice the rate TABOR spending caps allow the state to increase funding. Higher education funding will likely face significant cuts, while economic development programs, childcare provider increases, and the Highway Users Tax Fund face $50 million in reductions. Any bills with fiscal notes will likely be killed because funding doesn’t exist, Schwartz said.
Drone Regulation Opposition
Council voted three to one to oppose Senate Bill 26-1024, which would eliminate cities’ ability to regulate drone activity on public property. Councilor Schwartz said communities should make decisions appropriate for local situations rather than having top-down mandates from the legislature. City Attorney Kathleen L. Fogo said any action limiting home rule authority needs close examination because the legislature and courts have been attacking those powers. Officials noted while the risk in Gunnison is currently minimal, the city plans to acquire a drone and wants to preserve ability to govern its use.
Housing Development Bill
Three council members opposed House Bill 26-1001, which would allow nonprofits, universities, housing authorities, and transit authorities to bypass local land use codes when building housing developments. Council members said the city should be a partner to organizations rather than having them circumvent city processes. One councilor expressed concern the scope is both too focused and too broad, potentially allowing entities like Western Colorado University to build large dorms without considering local character. Another councilor argued land use codes are perceived as barriers to creating housing. The bill goes to committee March 4, before the council’s next meeting.
License Plate Reader Data Access
Council delayed action on Senate Bill 26-070, which would require warrants for law enforcement to access license plate reader data older than 72 hours. Police Chief Sam Costello said the Colorado Association of Chiefs of Police strongly opposes the bill because the requirement could hamper critical investigations. Gunnison County has two automatic license plate readers owned by the sheriff’s office, with the city contributing to their use. Costello said the concern isn’t routine use but immediate necessity for information in emergencies like missing persons cases or violent crime investigations, which occur three or four times per year in Gunnison. Three council members indicated opposition while two preferred monitoring the bill’s progress.
Chamber Contract and Phone Tax
The Chamber contract includes 12 monthly payments, with the city historically providing partial funding for Visitor Center operations. Staff explained the telephone utility tax was once based on a Colorado Department of Revenue interpretation that voice over IP and wireless service was functionally the same as analog landlines, but a Supreme Court decision in Lakewood overturned that interpretation. The tax now applies only to landlines, generating minimal revenue while companies send checks as small as 33 cents. The tax will be removed from city code by ordinance.
Staff Announcements
Parks and Recreation Director Dan Vollendorf introduced Alicia Sandstrom as the new Senior Center Coordinator, who started Monday and will lead senior programs and meals. Western Colorado University announced it received a $2 million federal grant for prosthetic laboratory programs, faculty support positions, and administrative fees.
Additional Bills to Monitor
Council directed staff to monitor several additional bills. House Bill 26-1130 would require baby diaper changing stations in all public restrooms as an unfunded mandate. House Bill 26-1007 addresses plug-in solar panels. House Bill 26-1190 concerns alcohol beverage manufacturer sales that would circumvent local licensing processes. House Bill 26-1095, sponsored by Representative Larry Don Suckla, would allow legal notices on newspaper websites rather than in print. Councilor Schwartz noted municipalities are strongly encouraged to cultivate relationships with state legislators, with only 16 current legislators having been local government representatives.
Council Reports
Mayor Pro Tem Marisela Ballesteros reported attending Parks and Recreation Advisory Committee meetings and upcoming Region 10 meetings. Councilor Schwartz reported the Gunnison Valley RTA held reorganization meetings where he was named chair, with a retreat scheduled for April 4. The RTA also appointed the mayor as treasurer. Schwartz attended American Legion’s 99-year lease signing event and Colorado Municipal League Policy Committee meetings including legislative preview day.
Executive Session
Council entered executive session at 7:11 PM pursuant to Colorado Revised Statute 24-6-402-4-B for conference with City Attorney Kathleen L. Fogo regarding legal advice on operational compliance. No action was taken during executive session.
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