The first budget of Mayor Mary Sheffield’s administration will show whether a three–year streak of property tax cuts continues.
Sheffield will present her 2026-27 budget proposal to the City Council today at 10 a.m. The document outlines her administration’s spending priorities and kickstarts a month-long City Council review process before a final plan is authorized in April.
High tax rates burden residents and businesses, Sheffield has said. Deputy Mayor Brian White told residents to “stay tuned” on whether the 2026-27 budget would include another slight property tax cut.
The last three budgets sliced off 5 mills total, creating a $250 annual savings for homes worth $100,000. Detroit homeowners pay roughly 64 mills, among the highest in Michigan. Sheffield supports exploring new alternative taxes to offset more substantial cuts, but Detroit hasn’t started a long process of securing state authorization.
“With respect to property tax reform, the mayor has made it clear that nothing’s off the table,” White said in a February interview. “Ultimately, there needs to be a reduction. There’s just no way around that. But we’re not going to go back to pre-bankruptcy days and put Detroit in the hole financially. So we’re going to have to have a serious conversation about raising revenues to offset some of those property tax cuts.”
Chief of Staff David Bowser said the administration will have a broader conversation with residents about tax reform. Residents often despise tax breaks for developers, he said, but abatements are necessary until the city can “normalize” its property tax rate.
“I know everyone hates abatements, this is why we’ve had abatements, and this strategy (of cutting property taxes) will get us away from abatements,” Bowser said. “When you take away property taxes, you have a budget gap, and now you have to fill it. We have to paint the entire picture for residents.”
On the campaign trail, Sheffield pledged to focus on home repair programs, small business support and the needs of youth and seniors. Sheffield started the year announcing new departments focused on community safety and programs for housing, health and family services. The budget will include details on the size and mission of all city departments.
BridgeDetroit interviewed White and Bowser about several other topics. Here are some takeaways from the conversation:
- White said Detroit has better uses for vacant land than sites for large-scale data centers that have stirred controversy in other parts of the state.
- A participatory budgeting process isn’t likely for this year. White said it will take time to create a framework to allow residents to have a more direct voice in spending decisions.
- Detroit’s inactive Council for the Arts will be revived as required by the City Charter.
- Implementing reparations recommendations “is further off” than this year’s budget, but Sheffield doesn’t plan to let the task force proposal collect dust.
- Sheffield may support renewing contracts for ShotSpotter gunshot detection tools if police are able to show it is helping to solve crimes and prevent shootings.
- White said staying “off the radar” of the Trump administration is the best way to protect immigrant communities while Sheffield works to be supportive “behind the scenes.”
- Sheffield’s first major ask for the state Legislature is a secret, for now.