Council adopts FY2026-27 budget, approves three millages and authorizes water bonds

Saginaw City Council on [date not specified] voted to adopt the city’s proposed FY2026-27 budget and to approve three separate millages and water-related financing measures that staff said will fund multiple infrastructure projects.

Yolanda Bland, director of the Office of Management and Budget, presented the budget, saying, “The proposed 2026-2027 budget totals approximately 230.65 million and includes a general operating budget rate of 5.9861 mills. This mills is projected to generate approximately 3.77 million dollars in revenues.” Council adopted the budget by motion that same evening.

Council also approved a 7.5-mill special assessment levy to support 30 public-safety positions (20 police officers and 10 firefighters) and a 2-mill levy for the Downtown Development Authority district; staff projected the police-and-fire levy would generate about $3.9 million and the DDA levy about $141,000.

In related action, council adopted a resolution designating the final project-planning amendment for the drinking-water revolving loan fund, advancing multi-segment water-main replacements and permitting staff to pursue state loan-forgiveness and grant opportunities to reduce local costs.

Council tentatively awarded a construction contract for the North Mason water-main project and separately approved a contract award for lead service line replacements. City staff told council the lead-service contract with Super Construction LLC is for $1,526,335 and will replace just under 200 service lines; staff estimated an average per-service cost of about $3,500 that includes the service, curb stop/box and related surface repairs.

Finally, council authorized the issuance of up to $18.8 million in drinking-water junior-lien revenue bonds (Series 2026) to fund the city’s 2026 drinking-water package, with staff explaining the amount was set higher than the immediate need to allow the city to accept any additional state forgiveness or leftover program dollars.

What happens next: staff will proceed with project procurement and state funding steps; the drinking-water projects identified in the planning amendment are expected to move into construction in 2027 pending final state and council approvals.