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Minneapolis City Council leaders have raised significant concerns over Mayor Jacob Frey's proposed $2.03 billion budget for 2026, which includes $23 million in cuts aimed at reducing a projected 13% property tax levy increase to 7.8%. The mayor's office describes the budget as "disciplined," emphasizing that without these cuts, the tax increase would be substantially higher.
Mayor Frey's Rationale
Mayor Frey has characterized the proposed cuts as a "recalibration" to invest in the city's fundamentals. Key components of the budget include:
According to the mayor's office, department heads believe they can still provide quality services despite these changes. For example, cuts to a sidewalk plowing project reportedly come from three vacant positions that were not critical to the program's function .
City Council's Concerns
Several city council members, including Council President Elliott Payne and Council Vice President Aisha Chughtai, have voiced strong concerns about the proposed budget. They argue the cuts target "critical" services that have a proven track record of success and are not merely "untested pilot projects" or "pet projects."
Specific programs and services the council is worried about include:
Council members have characterized the mayor's proposal as an "austerity budget" and accuse him of trying to present a "rosy picture" during an election year. They contend that the cuts would negatively impact working-class and immigrant communities. Council members have also pointed out that some of the cuts involve programs the council had added to the budget in the previous year .
Ongoing Budget Dispute
This is not the first time there has been a significant budget disagreement between Frey and the council. Last year, the mayor vetoed the council's budget after they made 71 amendments. The council ultimately overrode the veto, and the final budget included a lower property tax increase than the mayor had initially proposed. The mayor's office claims the council's use of one-time funds in that budget is partly why this year's projected levy was so high .
The budget process for 2026 will continue with public hearings and likely more amendments from the city council. The council must pass a final budget by the end of the year.