Detroit City Council Budget, Finance and Audit Standing Committee Executive Session - April 1, 2026

The committee continued its fiscal year 2027 budget deliberations, focusing on proportional funding requests from oversight agencies, the Board of Zoning Appeals (BZA) transcript costs, and numerous line item adjustments. Council members voted on amendments, removed funding from several items, and moved many proposals to closing resolutions. The meeting also included public comments on BZA transcripts, community fees, and redevelopment priorities.

Public Comments & Testimony

• Tyson Gersh argued that the city code and BZA rules require transcripts, challenging the administration's interpretation of court rulings.
• Betty A. Varner requested funding or fee waivers for community associations undertaking improvement projects and advocated for corridor development in underserved areas.
• Several callers criticized the council for prioritizing a Chinatown revival over reparations and for inadequate recreation centers in District 7.
• One caller supported a nuisance abatement diversion program coupled with financial literacy.

Discussion Items

• Proportional Funding for Oversight Agencies: The administration (Mr. Johnson) explained that the proposed budget reduced funding for the Auditor General, Ombudsperson, Office of Inspector General, and Board of Ethics due to a $56.2 million projected income tax shortfall and a $4 million cut in state revenue sharing. The administration argued that the reductions were proportional to cuts across all operating departments and that the agencies had historically underspent their budgets (e.g., Board of Ethics spent 78.8% in FY24, Auditor General 90.7% in FY25). Oversight agency heads (Auditor General Goodspeed, Ombudsperson Phillips, Inspector General Jones, and Board of Ethics representative) countered that the reductions violated the proportional funding ordinance passed in April 2025, which committed to a three-year ramp-up. Auditor General Goodspeed revised her request from $945,000 to $725,000, citing an alternative minimum calculation. The Ombudsperson noted that a $82,000 cut would make it impossible to sustain new staff and a learning management system. The Inspector General emphasized that the city had not yet reached the target equitable funding level. Council members debated the legality and fiscal prudence of the ordinance, with member Callaway stating the city cannot fund agencies that have not spent their current budgets.
• Board of Zoning Appeals (BZA) Transcript Costs: Director Ribron reported that a February 19 request to cancel and rebid the court reporter contract was still pending. The current contract charges $6.75 per page. He noted that state law does not require a verbatim transcript for judicial review, but the city code mandates a stenographic record. Council member McCampbell requested a unified contract for all city court reporting services to reduce costs. Member Callaway suggested a hardship fund for residents unable to afford transcripts. The item remained pinned for further discussion.
• Smoothie Bar at Northwest Activity Center: Member Waters proposed $71,000 recurring for free smoothies for seniors during summer months. After discussion about sustainability, youth inclusion, and alignment with the mayor's senior nutrition program, the item was pinned for further alignment discussions.
• Hospital Violence Intervention Program: Member Young proposed $300,000 one-time for a pilot program at Henry Ford Hospital. After clarifying that the program would be new and should be housed in the Health Department, the item was pinned for further consultation with the health director and former program leaders.
• Other Line Items: Council approved a $1 million increase (one-time general fund) for the Be Next program, $300,000 recurring for code enforcement education (combining items 6 and 9), $1.93 million one-time for retiree services, $250,000 one-time for a deed fraud pilot program, $500,000 one-time for 36th District Court specialty court, and $700,000 one-time for Charles H. Wright Museum operating support. Many items were moved to closing resolutions, including those related to language access, recycling tires, street truck route studies, and executive protection for the city clerk.

Key Outcomes

• Votes and Approvals:
  • Line item 6 (code enforcement): $300,000 recurring approved.
  • Line item 16 (retiree services): $1.93 million one-time approved.
  • Line item 86 (deed fraud pilot): $250,000 one-time approved.
  • Line item 120 (Charles H. Wright Museum): $700,000 one-time approved.
  • Line item 157 (Be Next): $1 million one-time approved.
  • Line item 165 (violence intervention): $300,000 one-time approved (pinned for further details).
  • Line item 200 (smoothie bar): $71,000 recurring pinned.
  • Line item 214 (36th District Court): $500,000 one-time approved, with closing resolution on living wage.
• Funding Removed: Council removed $1 million from line item 21 (Chinatown sidewalks), $3.2 million from line item 107 (Detroit Historic District Society), $500,000 from line item 125 (HRD pilot), $1 million from line item 78 (encapsulation program), and $250,000 from line item 99 (Board of Police Commissioners), among others.
• Closing Resolutions: Numerous items were moved to closing resolutions, including language on language access (items 67, 69), recycling tires (25, 26), BZA training (211), community outreach (212), and executive protection (218). Council will receive a consolidated draft closing resolution by Monday, April 5.
• Next Steps: The committee will reconvene at 10:00 AM on April 2 to address remaining pinned items and finalize the budget ahead of the April 6 deadline.