Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Budget topic
No spam. Unsubscribe anytime.
Madison Heights council approves budget amendments and raises capitalization threshold to $15,000
Summary
The city council approved amendments to the FY2025–26 budget and carryforwards into FY2026–27 to comply with Michigan law and voted to raise the city's capital-asset capitalization threshold from $5,000 to $15,000, effective July 1, 2025, following auditor recommendations.
Madison Heights — The City Council on June 22 approved staff-recommended amendments to the fiscal year 2025–26 budget and carryforwards to the 2026–27 budget so the city’s accounts conform with Michigan budget law.
Finance staff explained the amendments are required by the state and, if approved, would allow the city to implement necessary appropriations and carryforwards. A council member moved to concur with staff recommendations; the motion passed by voice vote.
Separately, the council approved a recommended change to the city's capital asset management policy to raise the capitalization threshold from $5,000 to $15,000, effective July 1, 2025. Officials said the change was recommended by the city's auditors to align accounting practice with current government finance standards and inflation. Staff explained that making the change effective July 1, 2025 means the accounting treatment would apply retroactively to purchases from that date forward for the fiscal year closeout.
Council discussed why the date is July 1, 2025, and staff reiterated the city's fiscal year runs July 1–June 30; acting now allows finance staff to capitalize qualifying assets for the period. The motion to increase the threshold was moved and supported; the motion carried by voice vote.
What else the council did: The council approved the consent agenda and heard a parks and recreation proclamation recognizing July as Parks and Recreation Month; Parks & Rec staff announced a pickleball mixer, a Zumba demo, and youth programming in July.
Notes: The transcript records motions and outcomes by voice votes but does not include roll-call tallies for the budget or capitalization policy motions.
