The Midland City Council convened on June 10, 2025, to discuss various financial strategies and operational improvements aimed at enhancing the city's fiscal health and service delivery. The meeting highlighted significant revenue developments, budgetary challenges, and ongoing efforts to streamline city operations.
The session began with a discussion on the introduction of a new practice that has led to an additional $10 million in revenue for the water department, alongside future cost savings. This initiative is part of a broader strategy to improve financial discipline within the city, which has included the elimination of a $1 million annual subsidy for the airport.
Council members were informed about the rising costs of health insurance, which have increased by 21% over the past two years, amounting to $2.2 million. The city has absorbed these costs without passing them onto employees, demonstrating a commitment to maintaining employee welfare amid financial pressures.
A key focus of the meeting was the city's public safety expenses, which have outpaced property tax revenues. The council noted that public safety costs amount to $93 million, significantly exceeding the $63 million generated from property taxes. This discrepancy raises concerns about the sustainability of funding for essential services.
The council also reviewed the limitations on revenue sources, particularly regarding property and sales taxes. Midland's property tax rate remains lower than that of many peer cities, and the city currently collects only one cent of the two-cent sales tax allowed by state law, with the other cent allocated to the county and hospital district.
In addressing future needs, the council emphasized the importance of planning for growth and maintaining infrastructure, including roads and parks. The discussion included a five-year financial forecast to help the council anticipate future revenue and expenditure trends.
The meeting concluded with a recognition of the city's improved operational practices over the past two years, which have fostered a more business-like approach to governance. The council expressed gratitude for the training and resources that have enabled staff to enhance processes and better serve the community.
Overall, the meeting underscored the city's ongoing efforts to balance fiscal responsibility with the need to provide essential services, while also preparing for future growth and challenges. The council remains committed to transparency and proactive management of the city's financial resources.