Toledo City Council Reviews Mid Year Budget Adjustments for 2025 Funding

The Toledo Finance, Debt & Budget Oversight Committee convened on August 27, 2025, to discuss critical financial adjustments and projections for the upcoming budget year. The meeting primarily focused on mid-year adjustments to the city’s budget, including the impact of American Rescue Plan Act (ARPA) funds and anticipated revenue changes.

A significant topic of discussion was the current status of interest earnings from ARPA funds. Committee members noted that while these earnings are flexible in their use, a reevaluation will be necessary as they prepare for the 2026 budget. It was highlighted that the interest earnings have decreased, with estimates suggesting a drop of around $200,000 compared to previous years.

The committee also reviewed the financial performance of the city's golf courses, which are slightly ahead of last year's revenue. However, officials indicated that an end-of-year adjustment may still be required, as the golf season is not yet concluded. The anticipated loss of approximately $200,000 annually from the golf courses raised questions about whether budget estimates should be revised.

In terms of mid-year adjustments, the administration proposed reallocating funds within the general fund, with a total adjustment of $10,040,000. This includes reallocations for the Toledo Municipal Clerk of Court and police and fire wages, reflecting recent bargaining agreements. Additionally, $200,000 was earmarked for urban beautification projects, specifically for the demolition of the Riverside Mobile Home Park.

The committee also addressed the need for additional funding in the water operating fund due to increased chemical and electricity costs at the ozone plant. The adjustments aim to ensure that essential services continue to operate effectively while managing the city's financial health.

Overall, the meeting underscored the ongoing financial challenges faced by Toledo, particularly in managing revenue expectations and reallocating resources to meet community needs. The administration will continue to monitor these financial trends closely as they prepare for future budgets.