Wayne manager outlines FY2027 budget; projects smaller deficit, keeps >20% fund balance

City Manager Diane Webb presented the Wayne City Council with the proposed FY2027 budget, saying the city will enter the new fiscal year with a structural deficit smaller than the prior budget but with reserves above the city’s policy minimum.

Webb reported an audited general-fund balance of $9,747,249 as of June 30, 2025 and explained that while the structural deficit has averaged about $2 million during the past decade, the proposed FY2027 budget shows a lower shortfall (presented as $1,743,340) and a projected general‑fund balance that would remain near 24.1% of annual expenditures—above the city’s 20% policy and the Michigan Finance Officers Association benchmark.

Key revenue and expenditure points Webb flagged: • Projected total FY2027 revenues and recommended expenditures (as presented to council). • A roughly 6.70% increase in taxable value is expected to add about $524,587 to general‑fund revenue; however, the city also anticipates a decrease in state-shared revenue (~$188,989). • Grants identified to date total roughly $238,495, including a $210,000 state walk‑path grant and $28,495 toward pickleball courts (the pickleball project was moved from Rotary Park to JC Park after resident input).

On personnel and benefits, Webb said changes in MERS (pension) contributions account for an increase of about $678,720 while reamortization actions approved previously produced savings of roughly $1,236,096. The budget includes a proposed commercial building-inspection position (budgeted at about $88,238) that staff said will pay for itself through permit revenues.

Capital outlay highlights in the draft included a PC refresh for IT, a $25,000 cell-phone data extractor for police investigations, body and in-car camera and encryption upgrades (total police capital recommendation ~$169,800), a new cardiac monitor and roof work for the fire department (fire capital request ~$326,000), street resurfacing projects and water/sewer equipment replacements consistent with a five-year capital plan.

Webb warned that contract negotiations with six unions remain open and that final salary/benefit outcomes will be incorporated through subsequent budget amendments before the July 1 start of the fiscal year. She thanked department heads and consultants for preparing the budget and said staff will bring more detailed analyses and proposed ordinances or amendments as needed.

Quote: “So even with the proposed recommended budget 2027 ... we'll still be at 24.1% of expenses in our fund balance,” City Manager Diane Webb told council.