DETROIT – Detroit officials announced a $105 million budget surplus for the 2024-25 fiscal year, marking the city’s eleventh surplus in twelve years of balanced budgets.
The surplus significantly exceeded initial projections of $60 million, according to outgoing Mayor Mike Duggan.
“I can’t imagine a better gift on Dec. 23 than the fact that we just received the official audit for 2025,” Duggan said, as he prepares to conclude his third and final term as mayor.
Detroit Chief Financial Officer Tanya Stoudemire attributed the surplus to careful spending rather than increased revenue.
“This was one year when our revenues met the budget. So there was not really a surplus that we could count on with our revenues, as we have in the past,” Stoudemire explained. “So really, this $100 million dollars is the result of our departments being strategic with how they manage their departments, how they spent their funds.”
Mayor-elect Mary Sheffield, who will decide how to utilize the surplus, emphasized her commitment to maintaining the city’s financial stability.
“My focus will always be clear, protecting Detroit’s financial stability, continuing to build our reserves and making strategic investments that strengthen our neighborhoods, improve essential services and support long term growth,” Sheffield stated.
As Sheffield prepares to take office, she acknowledged potential challenges posed by the national economic landscape.
She expressed her intention to maintain city services and protect employment.
“Of course, we want to remain the course that we’ve been on, which is trying not to do cuts or have any direct impacts to our employees within the city of Detroit, and so we will be very strategic and thoughtful,” Sheffield said.
Sheffield also announced on Tuesday (Dec. 23) that Detroit City Council member Fred Durhal will join her administration.
Durhal, who previously served as a state lawmaker, will leverage his legislative experience to work with Lansing in securing additional resources for Detroit.