In a recent government meeting, Duluth officials discussed the city's budget, highlighting a significant increase in funding post-COVID. Mayor Reinert noted that while the city traditionally received just under $3 million annually from HUD and community development block grants, this figure has surged to approximately $23 million, bolstered by various federal relief funds, including ARPA and CARES Act dollars, as well as opioid settlement funds and housing trust levies.

The mayor emphasized the importance of addressing critical infrastructure needs, including the water plant and the aerial lift bridge, while also ensuring that city operations are viewed as a cohesive system. He reassured the community that there would be no reductions in city employee staffing, and the budget would even expand to include new members in three bargaining units.

During the meeting, Councilor Mayo raised questions regarding the city's general fund reserves, which currently stand at about $25 million. Finance Director Carlson explained that maintaining a healthy reserve is crucial for supporting the city's debt rating, especially given the large projects on the horizon that will require financing.

The discussion also touched on the new staffing plan for the fire department, with Chief Crochet providing insights into the changes already implemented and the anticipated challenges moving forward. The meeting concluded with an acknowledgment that this was just the beginning of budget deliberations, with further discussions expected as the city seeks to balance its financial responsibilities with the needs of its residents.