27 February 2026
Detroit’s Expected Revenues Could Challenge Budget Decisions for New Mayor Sheffield
#FactsMatter, the Citizens Research Council of Michigan podcast
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Guy chats with the Research Council’s Detroit office director Doug Ortiz and Citizens Research Council President Eric Lupher about the Detroit February revenue estimating conference (REC) and what it portends for Mayor Sheffield’s first executive budget. Detroit’s fiscal year begins on July 1, 2026.
Detroit, like many cities, counties, and townships in Michigan, is looking at relatively flat revenue growth as it begins to craft its budget for the fiscal year beginning in July.
The small increase in revenue estimates was largely due to higher wagering/casino tax revenue than in the September 2025 REC. Annual growth in wagering taxes has been volatile in recent fiscal years and is expected to plateau in the forecast period with no real growth.
Annual revenue growth in the forecast from FY2026 to FY2030 is expected to be flat-to-modest. Property and income tax revenues lead forecasted annual growth, but when adjusted for inflation, income tax revenues had virtually no real growth
It is a good sign that there is talk of some level of tax reform coming from Lansing. Detroit and many local governments throughout Michigan will be watching.
Detroit, like many cities, counties, and townships in Michigan, is looking at relatively flat revenue growth as it begins to craft its budget for the fiscal year beginning in July.
The small increase in revenue estimates was largely due to higher wagering/casino tax revenue than in the September 2025 REC. Annual growth in wagering taxes has been volatile in recent fiscal years and is expected to plateau in the forecast period with no real growth.
Annual revenue growth in the forecast from FY2026 to FY2030 is expected to be flat-to-modest. Property and income tax revenues lead forecasted annual growth, but when adjusted for inflation, income tax revenues had virtually no real growth
It is a good sign that there is talk of some level of tax reform coming from Lansing. Detroit and many local governments throughout Michigan will be watching.