A review of the City of Jackson's adopted annual budget, including where money comes from and how it's spent.
General Fund Revenue$34.65M
General Fund Spending$38.55M
City's Fund Balance (Savings)$11.68M
This page covers the General Fund — the city's main operating budget. The city also manages separate funds for water, sewer, streets, and other services.
💡
The city spends $3.9M more than it brings in this year. Here's why that's planned, not a crisis.
Jackson is drawing on its fund balance to cover capital needs now that one-time federal COVID relief funds have run out. The savings account (the fund balance) remains healthy at 30.3% of expenses — right at the top of the city's 15–30% policy target.
Where the money comes from
Jackson's Revenue Sources
The General Fund takes in $34.65 million from a mix of local taxes, state aid, and fees for services.
Total Revenue
$34.65M
Two taxes dominate: Property taxes and income taxes together make up 67.5% of all General Fund revenue — roughly equal shares from each.
Jackson's city income tax is relatively rare — most Michigan cities don't have one.
Where the money goes
How the City Spends It
Of the $38.55 million in General Fund expenses, more than half goes to public safety, which keeps the police and fire departments staffed and equipped.
For every $1.00 spent from the General Fund — each square = 1 cent:
57¢
of every General Fund dollar goes to police and fire services combined.
That's $12.9M for Police (responding to 911 calls, patrols, investigations) and
$7.0M for Fire Suppression (firefighting, EMS response, fire prevention).
The remaining $2.1M in public safety covers training, grants, and unallocated costs.
Your property taxes, explained
What Is a Mill, and What Do You Pay?
A mill is how Michigan measures property tax rates. Jackson levies
16.2464 mills total for city purposes in FY2026–27.
Your bill is based on your home's taxable value, which in Michigan is typically around half of market value.
$
Estimated taxable value = market value ÷ 2 (Michigan average approximation)
Estimated taxable value$75,000
How the 16.2464 mills break down:
General Operating6.6513 mills — $499
Public Improvements1.9002 mills — $143
City Hall Debt0.6699 mills — $50
Act 345 Police & Fire Pension7.0250 mills — $527
Total city millage16.2464 mills
Your estimated annual city property tax bill$1,218
This is a rough estimate. Your actual bill also includes county, school, and library millages. Contact the City Assessor's office for a precise figure.
Financial health
Is the City's Savings Account Healthy?
The city's fund balance is like a household emergency fund. Jackson's policy is to keep it between 15% and 30% of annual expenses.
30.3%
15% floor30% ceilingCurrent: 30.3% ✓
General Fund Balance
$10.07M
After planned FY2026–27 spending
+ Budget Stabilization Fund
$1.60M
Kept as a separate safety cushion
Total Available Reserves
$11.68M
= 30.3% of $38.55M in annual expenses — at the top of the policy target
What's a Budget Stabilization Fund? It's an extra savings account — $1.6M set aside on top of the main fund balance to absorb unexpected shocks, like a sudden drop in tax revenue or an emergency expense. It works like having a separate "do not touch unless it's a real emergency" envelope alongside your regular savings.
Notable projects this year
Where Capital Dollars Are Going
Beyond recurring annual expenses, the 2026–2027 budget includes significant investments in infrastructure and equipment across the city's various funds. These are big one-time costs.
🚰
$10M
Digester Tank Rehabilitation
Digesters are large sealed tanks that use bacteria to break down the solid waste left over from treating sewage. Several of the city's digesters have been offline, reducing treatment capacity. This project brings them back online — keeping the plant compliant with state environmental rules. Funded through the Sewer Fund, not the General Fund.
🚰
$3.1M
Lead Service Line Replacements
Lead pipes connecting the city water main to older homes can leach lead into drinking water. After the Flint water crisis, Michigan passed a law requiring cities to replace these lines on a set schedule — regardless of whether contamination has been detected. This funding covers Jackson's required replacements under that law.
🛣️
$6M
State Highway Construction
Road and bridge work on state-designated highways running through city limits. The largest portions are $1.7M on MLK Jr. Drive and $1.2M for bridge rehabilitation on Glick Highway over the Grand River. These projects are coordinated with the Michigan Department of Transportation and partially offset by state highway funds.
📻
$323K
Police Radio Replacement
Federal rules now require public safety radio communications to be encrypted so that sensitive dispatches can't be monitored by outside parties. All of Jackson's police radios must be replaced with compliant units by a June 2027 deadline. Reliable, secure communications are essential for officer safety — this isn't optional.
🏠
$1M
100 Homes Program
A city initiative to grow Jackson's housing stock and help residents become homeowners. The program offers down payment assistance of up to $25,000 to income-qualifying buyers purchasing homes within city limits, and works to incentivize new construction on vacant or underused properties.
🗳️
$261K
New Voting Equipment
Michigan requires certified voting equipment for all elections, and Jackson's current machines are aging out of their certified service life. New machines must be purchased, tested, and certified before the first upcoming election. With up to three elections in the coming cycle, the city needs compliant equipment in place well in advance.
Make it personal
Your Money in This Budget
Adjust the sliders to match your situation. See how your estimated city taxes break down by service — and how city taxes compare to what you send to the county, state, and federal government.
Annual household income
$50,000
Home market value (what it would sell for)$150,000
Estimated total annual tax burden — where does it go?
Estimated total annual taxes paid—
Federal income tax uses simplified effective rates. Michigan income tax uses the 4.25% flat rate (single filer, ~$5,600 exemption). County & school property tax uses an estimated Jackson-area millage of ~31 mills (Jackson County ~5.6, schools ~18.5, state education tax ~6, ISD ~3, library & other ~2). Your actual taxes depend on deductions, credits, filing status, and your specific district — this is a rough illustration, not a tax calculation.
Your city tax dollars, broken down
Here's how your estimated city taxes are allocated across services:
Based on FY2026–27 adopted budget spending proportions. City taxes = property tax (city millage 16.2464) + city income tax (1% for residents). Hover a row for details.