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Mayor presents condensed 2026 budget; warns of revenue shifts from tax changes and rising health-care costs
Summary
Mayor presented a condensed version of the 2026 budget at the Sept. 16 council meeting, highlighting a planned 2% raise, an $8.2 million state payment stream to begin next August, rising health-care costs and potential revenue shortfalls when local income tax (LIT) changes take effect in 2028.
Mayor (identified in meeting materials) presented a condensed version of the proposed 2026 city budget at the Michigan City Common Council session on Sept. 16, summarizing revenue projections, departmental changes and planned expenditures.
Key points the mayor and City Controller Mary Limwell described included a proposed 2% across-the-board pay increase, salary-range standardization for all employees, and a planned riverboat transfer to the general fund budgeted at $4.3 million but to be used only as needed. The budget also includes reclassifying some full-time roles to part-time on attrition to control costs, parity pay ranges for CDL drivers…
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