Lansing Adopts 2026 Municipal Budget With Property Tax Levy Adjustments

The Lansing City Council approved the fiscal year 2026 municipal budget on June 22, which includes adjustments to the property tax levy applied to residential and commercial parcels inside city limits. The changes take effect with tax bills issued later this summer and affect every property owner who receives a notice from the Ingham County Treasurer.

State revenue-sharing formulas released in May reduced the amount Lansing receives from the Michigan Treasury compared with the prior year. City finance staff therefore recalculated the local levy to cover fixed costs such as pension contributions and road maintenance contracts already under way.

Daily costs for Lansing households

Property tax statements mailed in July will reflect the new rate applied to each parcel's taxable value. A household whose home is assessed at the city median will see its annual bill calculated under the updated millage, which covers the portion of city services not offset by state aid. Local advocates note that renters may experience indirect effects if landlords adjust lease amounts to account for higher carrying costs on rental buildings.

Policy analysts at the Michigan Municipal League point out that the budget document allocates specific line items for street resurfacing on Michigan Avenue and for overtime shifts at the Lansing Police Department. These allocations are funded in part by the property tax component rather than by new fees or state grants.

Next steps in implementation

The city treasurer's office will begin printing and mailing tax notices the week of July 13. Residents who wish to contest their assessment must file an appeal with the Ingham County Board of Review by the deadline stated on the notice. The council is scheduled to review mid-year revenue collections in October before any further adjustments to spending plans.