By: Gary Winkelman | Sterling Heights Sentry | Published April 8, 2026
STERLING HEIGHTS — Road improvements, more firefighters and solar energy investment are highlights of the city’s spending plans for the upcoming fiscal year.
The proposed 2026-27 budget will be tackled at a pair of City Council hearings on April 14 and April 28. Officials will review and discuss the proposed $294 million budget, which is scheduled for adoption May 5. The new fiscal year begins July 1.
“The proposed budget continues Sterling Heights’ longstanding focus on what matters most — public safety, reliable infrastructure, quality-of-life services and smart innovation,” said Budget and Finance Director Jennifer Varney. “By investing strategically and maintaining strong financial discipline, we’re supporting local economic vitality, keeping taxes low for residents and delivering the high-quality services our community expects.”
In a March 27 news release, the city noted key aspects of the new budget, including nearly $13 million in major road work. Projects on tap are:
• Resurfacing of 18 1/2 Mile Road from Ryan to Mound Road.
• Reconstruction of 15 Mile Road from Mound to Van Dyke Avenue.
• Resurfacing of 17 Mile Road from Mound to Ryan Road.
• Resurfacing of Dobry Road from Dequindre Road to M-59.
• Reconstruction of Red Run and Moravian from 14 Mile Road to Schoenherr Road.
• Groundbreaking on the reconstruction of Clinton River Road from Hayes to Canal.
An additional $9.3 million is eyed for neighborhood sectional street repairs and full reconstruction of 26 neighborhood streets.
For personnel, the proposed budget funds 568 full-time positions and includes nine additional firefighter positions, partially funded through a federal grant. The budget also calls for adding the city’s first traffic engineer to increase capacity to implement traffic-calming improvements and enhance neighborhood and pedestrian safety.
The budget plan maintains a focus on sustainability, including a proposed city campus solar field with an estimated payback period of approximately 8 1/2 years through electricity savings. A community-wide food composting pilot program is also suggested, along with planning efforts related to the continuation of the ITC bike/hike trail and the future of the Clinton River watershed.
Recreation and infrastructure
According to the city, projects supported by the 2024 voter-approved Pathway to Play and Preservation millage are expected to continue, including completion of Red Run Park improvements and a city-owned pickleball complex. Sidewalk repairs and replacements, land purchases for open space preservation, and semi-annual neighborhood street tree plantings will also continue.
Facility improvements in the proposed budget include renovating the unused jail area at the Police Department into a modern training facility. Renovations at Fire Station No. 5 will also continue, upgrading and modernizing the 35-year-old structure.
The proposed budget also includes replacing 21 police vehicles and an ambulance. Upgrades to EMS and fire equipment are also emphasized.
In an overview section of the 474-page budget, City Manager Mark Vanderpool describes the document as “more than just numbers on a page.”
“It is a living document that embodies the City’s vision: a safe, vibrant, inclusive, and welcoming place to live and work,” he writes. “The projects and initiatives outlined in this proposed budget are the culmination of months of planning, guided by input from the community, City Council, and stakeholders.”
The proposed budget maintains the city’s 17.5323 millage rate, which officials say is lower than most cities in Michigan and among the lowest in Macomb County.
Officials describe the city’s financial position as strong, with reserves totaling more than $43 million, or approximately 32% of general fund expenditures.
Sterling Heights Mayor Michael Taylor said the spending plan delivers what’s important to residents.
“The administration’s proposed budget maintains the city’s low tax rate, fully funds public safety, and includes millions of dollars for neighborhood and local roads,” he said in a text message. “The budget also includes funding for projects approved by voters in 2024 under the PPP initiative. With this budget, the city continues to prioritize public safety, infrastructure improvements, and amenities for our residents to enjoy year-round without increasing taxes or adding additional burdens on taxpayers. I am proud of the work done by the city’s budget and finance team, and excited to see it implemented.”
Both of April’s budget hearings will be held at 6:30 p.m. at City Hall, 40555 Utica Road. The complete budget document can be found online at sterlingheights.gov.