Birmingham releases $146.6 million recommended budget, prioritizing infrastructure and capital projects
April 25, 2026 | Birmingham City, Oakland County, Michigan
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Birmingham city officials presented a recommended FY 2026–27 budget that totals roughly $146.6 million and emphasizes infrastructure investment while keeping the city’s tax rate below last year’s level.
Finance staff said the three-year operating plan includes $44,000,000 in capital improvements, with about $19,300,000 earmarked for streets, water and sewer projects. The proposed operating millage is 12.9731, which staff said is lower than the prior year; the finance presentation estimated an average homeowner with taxable value near $333,500 would see about a 2% increase — roughly $85 — compared with the prior year.
City management framed the budget against a backdrop of higher inflation risk, rising energy and materials costs and pressure on revenues. Officials said they used conservative revenue estimates and plan to protect fund balances while meeting infrastructure needs and maintaining public safety and core services.
The budget package includes a six-year capital improvement plan and a three-year operating forecast. Key capital items noted by staff include a multiyear parking garage modernization program, street resurfacing and water/sewer replacement projects, technology investments and upgrades to public safety equipment.
Commissioners pressed staff on how projected expenditures relate to revenue totals, transfers from the general fund into street funds and the timing of reimbursements for special-assessment projects. Staff pointed to an interactive OpenGov portal to help residents and commissioners drill into line-item detail and said some larger transfers are intended to accelerate road maintenance and other capital work.
Public commenters and several commissioners urged clearer long-range planning for infrastructure so the city does not repeatedly defer maintenance only to face larger costs later. Staff said additional planning steps and changes to engineering staffing are under consideration to improve project delivery and oversight.
The city will continue commission review; some capital projects and transfers will be considered for final approval at upcoming meetings.
Finance staff said the three-year operating plan includes $44,000,000 in capital improvements, with about $19,300,000 earmarked for streets, water and sewer projects. The proposed operating millage is 12.9731, which staff said is lower than the prior year; the finance presentation estimated an average homeowner with taxable value near $333,500 would see about a 2% increase — roughly $85 — compared with the prior year.
City management framed the budget against a backdrop of higher inflation risk, rising energy and materials costs and pressure on revenues. Officials said they used conservative revenue estimates and plan to protect fund balances while meeting infrastructure needs and maintaining public safety and core services.
The budget package includes a six-year capital improvement plan and a three-year operating forecast. Key capital items noted by staff include a multiyear parking garage modernization program, street resurfacing and water/sewer replacement projects, technology investments and upgrades to public safety equipment.
Commissioners pressed staff on how projected expenditures relate to revenue totals, transfers from the general fund into street funds and the timing of reimbursements for special-assessment projects. Staff pointed to an interactive OpenGov portal to help residents and commissioners drill into line-item detail and said some larger transfers are intended to accelerate road maintenance and other capital work.
Public commenters and several commissioners urged clearer long-range planning for infrastructure so the city does not repeatedly defer maintenance only to face larger costs later. Staff said additional planning steps and changes to engineering staffing are under consideration to improve project delivery and oversight.
The city will continue commission review; some capital projects and transfers will be considered for final approval at upcoming meetings.
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