The Ferndale City Council met in regular session at 7:00 PM on Monday, April 27, 2026, at City Hall, 300 E 9 Mile, Ferndale, MI. The meeting included adoption of the FYE27-29 triennial budget, approval of a large consent calendar, award of the city's banking services contract to Huntington Bank, and discussion-only items on downtown parking and filling the council vacancy. The available transcript begins during the budget public hearing, so the library presentation and the DPW/DDA/CEO partnership presentation from earlier in the agenda are not reflected in this summary.
The meeting was adjourned at 9:44 PM.
Point the city could expect to amend its budget with a much more favorable revision in terms of total um expenditure reductions. Right now, though, uh, with that role to the public improvement fund, the general fund is projecting a net revenue of about 30 uh 300,000. That's just slightly less than one percent of the budget. Um I would like to see that higher. Um, where we're hopeful we'll you know we'll be able to reevaluate that in August. If that uh were to pass in August, and then we'd be looking at more like 2.8 percent of uh budget, which is um very healthy in my uh opinion to have that really anything over two and a half percent as a budget buffer is very comfortable. Uh also reflecting this budget, of course, is the final uh tax rollback factor, and as well the tax rate request forms are included in your agenda packet. Uh those tax rate request forms are very formulaic, uh so it's really just a factor of what the prior years in most cases it's a factor of what the prior year's millage rate was uh multiplied by the headly reduction factor, which is a rate that is established for us based on headly and proposal A that limits how quickly our taxable value can grow. Uh and in other cases, if it's a debt related millage, it is specific to what the debt repayment or the expense obligation of that item is. Uh so the city doesn't have a lot of discretion over setting those rates, they are very factor-based. Uh finally, in the water and sewer fund, the anticipated rate increases that we receive from uh the water resources commissioner office of 5.1 and 5.7 percent uh for sanitary and storm sewer, respectively, are also reflected. So uh we are very confident that we have the all of the figures that are necessary for a reasonable and uh forward looking budget for fiscal year 27. There's no outstanding uh major revenue or expense questions still to answer, and as I noted earlier, all funds are now reflective of a positive fund balance into future years. Any questions because this is a public hearing, I will open it up to audience for questions first. CNN open it up to council for any questions or comments. Are you gonna close the public hearing? Oh, sorry, close. I don't know. I guess since we're still too talking, I keep thinking that it's open all to everybody. But I'm closing the public hearing then officially at 803, and I guess we need a motion to do that. Motion to close the public hearing as yes, support all in favor? Aye, aye. Any opposed? Okay. Open up to council. Chair, um Colleen, I know you and I have talked a little bit about the the downtown development authority and the net revenue versus appropriations and and their fund. Can you can you give us a very high level overview of the the negative balances that we're projecting in the next few years? Uh so originally by fiscal year 29 there was a projected deficit of I believe about 130,000 dollars as of the last reading. Uh that is only resolved through deferring one of the major capital expenditures in fiscal year 29, um, which is not an item that could be wholly deferred, and that is for uh renewal of the TIFF for that district. Uh so it is it should be expected that some costs will need to be incurred, and other measures would need to take place uh to reduce expenditures, really monitor expenditures between now and fiscal year 29 that help to ensure that that fund balance remains positive into the future that extensive conversation we we've been talking about this for months, so I'm not offended that that okay so I don't know why I keep getting confused about this. So now we need uh the motion to adopt the fiscal year 2027 general budget, general appropriations budget, and resolution to set the fiscal year 27 tax, water, and sewer, and sanitation rates as submitted by the city manager. So moved. Support. Sorry. Roll call. Kelly. Yes. McColski. Yes. Sabatini? Yes. Leaks May. Yes. Thank you. That has passed our triennial our triennial budget for fiscal year 2027 through 29. All right. Thank you for everybody's work on that, by the way. Consent agenda. Approval of the April 13th. 2026 meeting minutes.