Budget, Finance, and Audit Committee Meeting - November 5, 2025

The committee convened on November 5, 2025, to approve meeting minutes, conduct public comments, and deliberate on two key items: the expansion of the Bagley Neighborhood Enterprise Zone (NEZ) Homestead Area (NEZH) and the status of NEZ certificate applications for New Hudson's Tower. The session included discussions on tax revenue implications, affordable housing commitments, and concerns regarding equitable tax relief. Councilmember Coming Young was excused. The meeting also featured extensive public commentary, including calls for transparency, opposition to perceived zoning rush jobs, and personal grievances against city officials.

Consent Calendar

• Minutes from the previous meeting were approved without objection.

Public Comments & Testimony

• Karen Winston: Expressed strong opposition to a proposed lump-sum payment option for retired police and fire personnel pension clawbacks. She argued the deal is unfair, stating the city is doing well financially but continues to take money from pensions. She stated she will not make the lump sum payment and prefers the deduction continue throughout her life.
• Anonymous Caller (Shikindiyondobosondoku): Spoke for approximately two minutes in a language or format that was unintelligible to the recorders and did not translate; no specific position or issue was recorded.
• Slowdown Zoning Change (Callaway/Ms. Warwick): Expressed strong opposition to a "conspiracy" and "rush job" regarding zoning approvals for the North End and the BZA's handling of the North End Landing appeal. She accused Councilmember Fred Duhur of lying, cheating, and scheming with developers. She claimed the BZA violated Detroit City Code 50-2-6-6 regarding transcripts and accused the city of ignoring the law to facilitate a development that negatively impacts residents. She questioned whether a developer pays Councilmembers.
• Mr. Rue: Accused Councilmember Fred Duhur, Councilmember Steve Wasco, Councilmember Gabriela Santiago Romero, and Mayor Elect Mary Sheffield of being liars, cheaters, and frauds. He alleged they cheated him out of $2,500 and refused to award him city contracts. He expressed opposition to the "project of densification" and claimed there were undisclosed findings on voter fraud.
• Caller (Number ending 039): Stated that neither the Democratic nor Republican parties do anything for poor people, citing Charles Barkley.
• Tyson Gersh: Expressed concern regarding the lack of transparency and records for BZA proceedings (specifically a March 30th hearing and a March 17th, 2022 question). He urged for updated reporting on public tax spending and criticized the inactive status of the Detroit Open Checkbook Platform since 2021.
• Jadante Smith: Expressed support for holding current leadership accountable, specifically mentioning a recall effort against Scott Benson. He expressed strong support for Garland Gilchrist's run for governor over Mike Duggan, whom he stated has done nothing good for Black residents. He noted a low voter turnout (100,000 residents) and criticized the lack of community outreach.
• Runardsky (Renard Moshewski): Expressed support for prioritizing public transit funding. He inquired about the budget process for the new administration and emphasized the need for the city to compete with cities like Portland and Chicago by investing in transit infrastructure and shelters.
• Detroit City Councilwoman Angela Whitfield Callaway: Expressed full support for the expansion of the NEZ in the Bagley area, viewing it as correcting a past oversight/mistake by former council members.
• Slowdown Zoning Change: Expressed opposition to the NEZ expansion as a "grotesquely inequitable taxing scheme." She argued that the measure provides 15 years of tax benefits to high-priced homes while undervalued homes suffer, and questioned the connection between the NEZ and the "let's build more housing" zoning rush job. She demanded a planning study before solar farms were installed in Black Bottom.
• Not That Karen: Expressed concern that the system failed to notify her of NEZ eligibility for 31 years of homeownership. She questioned how homeowners are protected from missing the application transfer and whether she qualifies for a refund or if the program is closed to her.

Discussion Items

• Bagley NEZ Homestead Area Expansion: Deputy CFO/Assessor Alvin Horn presented data indicating 499 parcels would be affected, with 255 potentially eligible for a 15-year tax abatement. He noted an average taxable value of $20,659 (average savings of $243) and potential annual revenue loss of $70,912.69. He argued that tax abatements stabilize neighborhoods, increase sales prices by approximately 8%, and reduce foreclosure and crime.
• Councilmember Corley: Emphasized that the projected property tax loss of ~$139,000 over two years is insignificant relative to the city's $171 million property tax revenue. She inquired about re-application eligibility; counsel indicated owners could potentially receive a NEZ homestead for 30 years (two 15-year terms), unlike standard NEZs which are one-time only.
• Councilmember Santiago Romero: Expressed support for the expansion as a necessary start toward broader tax relief for Detroiters. She noted personal savings of $300-$500 and highlighted the need to replace lost revenue creatively. She noted the expansion would raise citywide NEZ coverage from 13.78% to 13.95% (the state cap is 15%).
• New Hudson's Tower (Line Item 6.1): Brian Watkins (Bedrock Detroit) presented an update on affordable housing commitments. He confirmed the developer is exceeding their original agreement, providing 42.2% of their 1,681 residential units at or below 60% AMI (60% area median income), far surpassing the initial 30% commitment. He emphasized this commitment applies to future NEZ approvals.
• Councilmember Santiago Romero: Expressed appreciation for the transparency and the numbers provided, noting the need to see data before pushing for housing initiatives.

Key Outcomes

• Bagley NEZ Expansion: Line Item 5 (11:15 PM Public Hearing) was sent to formal consideration with a recommendation to approve.
• New Hudson's Tower: Line Item 6.1 (Neighborhood Enterprise Zone Certificate Applications) was sent to formal consideration with a recommendation to approve following the developer's presentation.
• Adjournment: The Budget, Finance, and Audit Standing Committee adjourned without further new business.