City Commission adopts FY 2025–26 budget, sets millage rates; residents press for stronger street reconstruction

The East Grand Rapids City Commission approved the fiscal year 2025–26 budget, set tax millage rates, and adopted a fee schedule and water/sewer rate adjustments following a public hearing.

City Manager Mr. Charles introduced the budget earlier in the meeting, describing a proposed general fund of approximately $15.5 million, an operational millage of 11.1419 and a proposed street millage (as described in the mid‑meeting budget presentation) of 1.96 mills; the proposed budget recommended a use of fund balance of approximately $549,000 and noted continued investments in infrastructure. At a later special meeting the commission adopted the final resolution setting millage rates (the adopted resolution recorded operational millage at 11.1419 and the adopted set of millage rates included street millage figures reported in the motion; commissioners approved the budget resolution by majority vote).

During the public hearing on the budget, residents pressed the commission on street maintenance strategy. Nancy Patterson said the streets receive only “Band‑Aid” resurfacing and urged the city to pursue full reconstructions if that yields a longer life, noting that rebuilding at scale would require far greater millage levels. Mr. Charles responded that the city has prioritized surface repairs over the last decade while rebuilding more intensively where possible, and that complete reconstruction at the scale suggested would require a street millage on the order of 15 to 20 mills — substantially higher than current levels — because reconstruction costs are many times higher than resurfacing.

Other budget items advanced in the meeting included approval of the annual fee schedule and a water/sewer rate resolution. The finance committee had reviewed the fee schedule; staff noted a modest change to meter fees and a $50 badge deposit for door‑to‑door transient merchants. The commission approved a 3% increase in water rates for 2025–26 — the first such increase in two years — and discussed the timing of rate studies and Grand Rapids’ utility rate calendar.

The commission thanked staff for the budget work and for providing documents intended to help residents understand spending. The budget and related resolutions were approved by voice vote as presented. The meeting record includes follow‑up directions for staff to provide additional detail on millage breakdowns and street program planning, as requested by residents.