A recent audit from the City of Tulsa reveals the city spent more than $15 million above its planned budget last fiscal year. While city leaders address ongoing financial challenges, the next round of audits will look very different because Tulsa residents helped shape them.
The Office of the City Auditor has released its Fiscal Year 2026 Annual Audit Plan, and for the first time, it was built with direct input from the public.
Budget Shortfall and Unplanned Spending
The audit of Tulsa’s FY 2025 general fund shows the city planned for $393.6 million in revenue but spent $408.9 million, resulting in a $15.2 million deficit. That figure doesn’t include $21 million in additional financial needs not included in the official budget.
Among the unbudgeted costs:
- $1.9 million in fire department raises and fitness pay
- $844,000 in police compensation increases
- $624,000 in legal department raises
- $159,000 in other employee wage increases
The report also notes that the deficit would have been significantly higher had the city fully funded all open police positions or phased out certain grant dependencies and attrition-based hiring methods.
Tulsa’s Sales Tax Rate Lags Behind Peers
Sales tax is Tulsa’s primary funding source, yet the city’s 3.65% rate is lower than many surrounding cities:
- Glenpool: 5.10%
- Collinsville: 4.80%
- Owasso, Bixby, and Sand Springs: 4.05%
With lower tax revenue and rising expenses, the audit suggests Tulsa may need to reassess how it balances its budget.
Residents Help Set the 2026 Audit Agenda
For the first time, Tulsa residents had a direct hand in shaping the city’s upcoming audit priorities through the Evaluate the 918 campaign, a community engagement effort led by the Office of the City Auditor earlier this year…