Mayor Johnson outlines $2 billion-plus 2026 budget with tax and fee increases, boosts for public safety and housing

Mayor Johnson presented his proposed 2026 executive budget to the Milwaukee Common Council on Sept. 17, saying the city faces “one of the largest budget gaps this city has ever seen” and detailing a plan that relies on reserve draws, departmental belt‑tightening and revenue increases to fully fund a budget totaling “over $2,000,000,000.”

The mayor said the proposal would raise the property tax levy by about 3 percent and increase user fees about 4 percent. He also announced a $10 increase to the vehicle registration fee, which he said would align Milwaukee’s fee with several other Wisconsin communities.

Why it matters: The package pairs new revenue with targeted spending to sustain city services and to invest in public safety, housing and infrastructure. The mayor framed the choices as legally and morally necessary given the obligation to present a balanced budget.

Key budget details and priorities

• Size and revenue: The executive budget is described as “over $2,000,000,000.” The mayor said closing the gap will require a mix of use of reserves, departmental reductions and revenue changes; he estimated user fees would rise roughly 4 percent and the property tax levy would increase about 3 percent. The vehicle registration fee would increase by $10. (Amounts described in the meeting were presented as estimates; precise ordinance language and rate schedules were not provided at the hearing.)

• Staffing and public safety: Johnson said he does not anticipate layoffs in 2026 and expects any staffing reductions to come from not filling vacancies. The budget funds training for “the maximum number of police recruits” at the city police academy and calls for adding three full‑time equivalent positions to the Milwaukee Fire Department to boost fire investigation work. The mayor said the Office of Community Wellness and Safety, under a new director, will continue work to prioritize positive outcomes.

• Housing: The mayor listed multiple housing programs included in the proposal: Raise and Revive, the Milwaukee Home down payment assistance program, the Strong Homes loan program, a compliance loan program and the Homes MKE effort. He said city departments will continue efforts to promote homeownership, encourage landlord compliance with safety and livability laws, and support neighborhood stability.

• Infrastructure and streets: The budget includes projects and planning for several major street and safety projects. The mayor said 2026 will start a major road project on National Avenue and will complete a project on Lisbon Avenue, and that projects on Roosevelt, Hopkins, Oklahoma and the Walnut‑Lisbon corridor will begin next year. He said projects will include protected bike lanes, additional street trees and other traffic‑calming features.

• Libraries and flood recovery: Johnson described flooding from Aug. 9 that damaged libraries and other sites; he said the Federal Emergency Management Agency and the U.S. Small Business Administration were working with property and business owners. He reiterated a commitment to Milwaukee Public Library services and said hours and staffing remain “relatively steady” despite required economizing.

Council process and next steps

Alderman McCox moved that the committee of the whole rise; later, Alderwoman Marina Dimitrijevich moved that the mayor’s proposed 2026 budget be referred to the Finance and Personnel Committee for review and that the committee report be filed at a Common Council meeting on Nov. 7, 2024 (as read into the record). Dimitrijevich also moved that, under the provisions of Chapter 18046 of the Milwaukee City Charter, a public hearing on the proposed 2026 budget be held jointly by the Common Council and the mayor on Monday, Oct. 6, 2025, at 6:30 p.m., and directed the city clerk to publish the time and place in accordance with charter provisions. Dimitrijevich additionally announced a community listening session on the mayor’s proposed budget for Oct. 18 at 9:30 a.m. at the Martin Luther King Library.

The council referred the mayor’s proposal to committee for review. Detailed ordinance language, final levy figures and any specific fee changes will be drafted and considered in committee and during the formal budget adoption process.

Quotes

“That's one of the largest budget gaps this city has ever seen,” Mayor Johnson said, urging a mix of reserve draws, departmental belt‑tightening and revenue increases to balance the plan.

“I don't anticipate any layoffs with the 2026 budget,” he said, adding that staffing reductions should be handled through not filling vacancies.

Closing

Committee consideration now moves to the Finance and Personnel Committee and to public hearings. Specific ordinance text, final levy rates and fee schedules will be released as the committee process and public comment period proceed.