GRAND RAPIDS, Mich. — Grand Rapids released its annual budget on Tuesday as it faced the changing landscape on the federal level.
This proposal included hiring 22 positions for the city staff as the federal government continued to shrink its workforce.
The new jobs included four new positions: 911 dispatch, fire inspector, and resources to meet state firearm background checks.
“This plan positions the City to weather future uncertainty while remaining firmly rooted in our core values: accountability, collaboration, customer service, equity, innovation and sustainability,” City Manager Mark Washington wrote.
Final Pfp Fy2026 by WXMI on Scribd
Washington explained that this budget reflected a commitment to good governance.
The $735 million budget was a 6.5% increase compared to the previous year. The proposed General Operating Fund made up $196 million of that amount. The city pointed to "inflation and previously negotiated wage and benefit adjustments."
2025 04 29 FY26 Preliminary Fiscal Plan Introduction by WXMI on Scribd
The budget also reflected a slightly lower property millage rate of 8.8587 mills.
“While Grand Rapids continues to show economic resilience, broader pressures—such as inflation, high labor and material costs, supply chain challenges, and unpredictable state and federal funding—require careful prioritization. This proposed budget maintains essential services while investing in long-term, strategic initiatives to ensure resilience for years to come,” Washington wrote.
The city had recently seen a large growth in the number of capital improvement projects, such as Acrisure Amphitheater and Amway Stadium, and several city departments are being moved to the new Scribner location.
Officials estimated that this year's total investments for all capital improvement projects would be around $189 million. The city explained these projects were supported by a combination of GOF dollars, bonds, dedicated millages, leveraged partner funding, and state and federal allocations.
Preliminary Capital Plan Book FY26 by WXMI on Scribd
“We have roughly $40 to $50 million of federal funding in our budget, but we wanted to create some certainty around the services that we have as a city. And so that's our part. We are local government, and I want to ensure the continuity of local services," Washington said Tuesday after the meeting.
The city has learned the federal government has made cuts to funding meant for the city, including an employee and $1.5 million meant for EV infrastructure.
"There's obviously a lot of conversation about delays and pauses, and we've had as recently today, been informed that one of our employees will be impacted by the (Kristof) program," Washington said.
GR depends on money from the feds to fund another 71 positions, where about a dozen are fully funded.
"That's something that we're going to have to monitor and something that we're going to pay attention to. But I think it would be premature now to assume the termination of funding for those positions," Washington said.
This proposed budget still needs to be approved in its entirety. The community will have its chance to weigh in during a public hearing on May 13.
Commissioners could adopt the budget as early as May 20th.
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