Denver’s elected auditor has lambasted Mayor Mike Johnston for cutting his budget, writing in a new letter that he doesn’t believe Johnston has the authority to do so.
“Mr. Mayor, your office and the Finance Department must stop interfering with the Auditor’s Office and stop preventing me from doing my job,” wrote in the Thursday evening letter, according to a copy obtained Friday by The Denver Post.
The letter comes as city officials develop a financial plan for 2026 amid an anticipated $200 million shortfall in revenue. Johnston presented his initial budget proposal on Monday, and now the City Council, which has butted heads with the mayor recently, will have an opportunity to suggest changes.
The early protest from O’Brien — and similar frustrations expressed publicly by Denver Clerk and Recorder Paul López — could signal heated debates between now and when the budget is approved in November. The budget negotiations mark the latest step in the city’s financial crisis, which was caused in large part by sagging sales tax revenue and growing expenses. Last month, city officials laid off 169 people as part of their efforts to balance the budget.
The Denver Auditor’s Office, which is established in the city charter, is charged with serving as a check on the mayor’s office and other city officials. O’Brien’s performance audits have been critical of Johnston at times, including harsh reviews of the way he runs his homelessness initiative.
Under the mayor’s 2026 budget proposal released Monday, O’Brien’s office would lose almost $500,000, with its $15.7 million proposed budget representing about a 3% decrease from this year.
“In lean economic times, we must balance the budget — just like Denver families have to — and we will continue to work with the auditor to deliver a strong outcome without cuts to core public services,” said Jon Ewing, a spokesman for the mayor’s office.
But O’Brien’s letter highlights disagreement over the mayor’s authority under the charter. One provision says the auditor’s budget proposal “shall be reflected in the mayor’s proposed budget.” Another part of the charter cited by Johnston’s office, however, gives the mayor and the council wide latitude over the budgeting process.
O’Brien argued that he “must have the discretion to decide what is best for my office,” adding: “Considering we have multiple auditors who are also certified public accountants, we are well positioned to manage our finances responsibly.”
O’Brien’s letter was sent two days after López, who’s also separately elected, about his own office’s budget cuts. Under Johnston’s proposal, the clerk’s office budget would decrease by about 1.5% compared to this year — but it would lose about $4.5 million, or nearly 24%, compared to the 2024 budget, the last year there was a major election.
In 2026, the midterm elections in Colorado will impact the makeup of the congressional delegation and the future of the state, with the governor’s office and state legislative races among those on the ballot.
“The mayor’s proposal will decimate voter services in (2026),” López said Tuesday, according to a recording of his news conference. “This will jeopardize turnout, it will disenfranchise voters.”
He said the city would have to reduce the number of drop boxes and polling centers as a result of the cuts.
“It is an absolute overreach,” López said.
Most other independent offices and agencies , including a 19% cut to the budget of the Office of Human Resources and a 4% reduction to the Board of Ethics. The City Council’s budget, one of a few exceptions, is set to increase by 5.5%.
Public hearings on the budget will begin Monday as city agencies present their budgets to the council. The council will have an opportunity to propose amendments to the budget in the coming weeks before it is finalized November 10.
At least one council member, Flor Alvidrez, attended Lopez’s news conference Tuesday and stood behind him.
O’Brien said that if the mayor’s office doesn’t restore his budget, he will request that the council override the budget proposal through an amendment.
Still, he said he would try to trim back, writing: “I ask for the Auditor’s Office 2026 budget to remain level with the 2025 budget. And, I will commit by the end of next year my office will make budget savings equal to the currently proposed 2026 budget.”
Johnston cautioned earlier in the week that any council attempts to shift dollars between departments would cause more layoffs and possible cuts to services.
“If there were going to be amendments that were run that reduce allocations from certain departments … those departments would face either cuts to core services or layoffs,” Johnston said Monday.
