Ferndale budget draft frames May millage question as part of a balanced strategy to close funding gap

Ferndale leaders presented a draft fiscal-2026 budget at a Saturday workshop that relies on a combination of cost savings, targeted capital deferrals and a proposed voter-approved millage to close an operating gap created by state tax limits and rising labor costs.

City managers told the council the draft budget is intended for conversation and will change before two scheduled readings — a first reading April 14 and final adoption April 28 — and that the millage proposal would appear on the May 6 ballot for voters to consider.

Why it matters: property taxes and the city’s voted millage together account for roughly half of general fund revenue, the presentation said. The city has experienced recurring downward pressure on levy capacity from Michigan’s Headlee rollback mechanism and the tax-limiting effects of Proposal A, which officials said…