By Greg Chandler
Zeeland Record
The city of Zeeland plans to invest nearly $8 million into capital projects during the new fiscal year that begins July 1.
Assistant City Manager and Finance Director Kevin Plockmeyer unveiled the city’s budget proposal for the 2026-27 fiscal year to the City Council Monday night. Over two nights, the council heard Plockmeyer and other department heads share their plans and funding proposals for the new fiscal year.
The budget proposal calls for total net expenditures across all city departments at $81,160,154, the vast majority of it coming from the Zeeland Board of Public Works at $54,429,451. That’s an increase of nearly 14 percent from the current fiscal year. Total net revenues for 2026-27 are expected to come in at $80,652,483, a 17.8 percent increase from the current fiscal year, according to the budget document.
The general fund budget, the portion of the budget most directly impacted by local property taxes, is expected to use $155,086 of fund balance for 2026-27 due to transfers out for capital improvement projects. The city is expected to spend $11,170,656 in the general fund for the 26-27 fiscal year, an increase of 2.72 percent from the current fiscal year, compared to revenues of $11,015,570, according to the budget document.
The city plans to transfer out $1.5 million out of the general fund for municipal street projects, $600,000 to the Howard Miller Library and $100,000 to the Shopping Area Redevelopment Board (SARB), Plockmeyer said.
The 2026-27 budget proposal calls for $7,984,043 of investment in capital projects for the city. Highlighting the project list is a planned $3 million reconstruction of 84th Street, which is linked to the ongoing construction of JR Automation’s new global headquarters at the southwest corner of 84th and Riley Street. That project is expected to be paid for through bonds, which would then be repaid through brownfield tax increment capture.
Also on the project list is the completion of the Church Street reconstruction project from the city’s Clean Water Plant to Washington Avenue, which has estimated costs of $2,953,543, and the installation of boilers for expansion of the snowmelt system inside the 17 E. Main mixed-use development, a $1.3 million project.
Other capital projects planned for 2026-27 include:
• Milling and resurfacing work on Pine Street, West Lawrence Avenue and Colonial Street ($350,000)
• Acoustic Improvements at Howard Miller Library ($150,000)
• Repairs to the gazebo at Vande Luyster Square ($50,000)
• Irrigation upgrades at Vande Luyster Square ($35,000)
• Irrigation upgrades to the North Parking Lot downtown ($25,000)
In addition to the city capital improvement projects, BPW is planning $5.89 million in improvements in its electric utility and more than $2.32 million in improvements to the water utility. Another $2.5 million worth of upgrades is planned for the Clean Water Plant, Plockmeyer said.
Among the projects planned for the electric utility at BPW include expansion of the northside substation Bus #2. “We’re preparing for industrial load growth,” BPW General Manager Andrew Boatright said.
The utility will also move overhead power lines underground as part of the Church Street project, as well as on 88th Avenue, Woodbridge Street and Cherry Street, Boatright said.
Water utility improvements planned for 2026-27 include new water lines as part of the Church Street reconstruction, additional water main replacements, meter replacements and replacement of galvanized service lines, Boatright said.
The city plans to expend $2,279,168 of governmental reserves for various improvement projects. That includes $1.25 million out of the snowmelt construction fund for the 17 E. Main project, $390,328 out of the various street funds for street improvements, and $381,816 for library projects that include the acoustic improvements and checkout station upgrades.
Even with the investment of reserves, the city’s fund balances are expected to remain strong. The city expects to have a governmental fund balance across all departments of $13,809,034 at the end of the 2026-27 fiscal year, including general fund reserves of $5,832,448.
“That’s the cycle, where we like to save money, and when we have some of these big projects, then it’s time to spend,” Plockmeyer said.
No change in the city’s millage rate is planned. The tax rate has stayed at 11.1354 mills since 2010, except during the COVID pandemic when the rate was reduced. With the city’s tax base up 7.06 percent from the previous year to more than $680.4 million, each mill will generate $651,626 in revenue for the city, up from $609,688 a year ago, Plockmeyer said.
“Maintaining the millage rate is not coming at the expense of not investing and reinvesting in this community,” Plockmeyer said.
The budget proposal includes an increase in special assessments to downtown businesses that are part of the Shopping Area Redevelopment Board (SARB). The downtown special assessment that includes general maintenance, snowplowing and planters is expected to be $56,044, while another $43,161 is being assessed for operating and maintaining the snowmelt system, Plockmeyer said.
The new budget also calls for increased spending for public safety - $4,095,163 compared to $3,897,789 in the current fiscal year. Spending for the police department is budgeted at $2,115,649, up from $1,976,107 in the current budget, with the major purchase expected to be updating the department’s dash and body cameras, a projected $50,000 expense. The fire/rescue department has a projected budget of $1,665,401, up from $1,610,390 from the current fiscal year.
BPW is projecting a net loss in its electric utility operations of close to $2 million for 2026-27, but expects to finish with a cash surplus of $291,501, increasing the cash balance at the end of the next fiscal year of nearly $16.9 million, according to the budget document.
“The power supply costs have gone up significantly. We’re trying to do our best to project those (costs). We’re trying to project the revenues associated with that … there’s not a lot to trim in here, when 80 percent of your costs are directly related to purchasing the power,” Plockmeyer said.
BPW is projecting a water utility operations net loss of $321,512 and the use of $1,240,240 of cash reserves, reducing the cash balance at the end of 2026-27 to $8,946,170, according to the budget document.
BPW plans to institute a 1.5 percent rate increase for electric and a 4.9 percent hike for water in January 2027, matching similar increases that took effect in January of this year.
Plockmeyer praised the work of department heads as well as the finance department staff in putting the budget proposal together.
“They do a great job of requesting what they need … but there are a few wants sprinkled in there,” Plockmeyer said.
The city budget is expected to be approved in May following a public hearing.
Zeeland Record
The city of Zeeland plans to invest nearly $8 million into capital projects during the new fiscal year that begins July 1.
Assistant City Manager and Finance Director Kevin Plockmeyer unveiled the city’s budget proposal for the 2026-27 fiscal year to the City Council Monday night. Over two nights, the council heard Plockmeyer and other department heads share their plans and funding proposals for the new fiscal year.
The budget proposal calls for total net expenditures across all city departments at $81,160,154, the vast majority of it coming from the Zeeland Board of Public Works at $54,429,451. That’s an increase of nearly 14 percent from the current fiscal year. Total net revenues for 2026-27 are expected to come in at $80,652,483, a 17.8 percent increase from the current fiscal year, according to the budget document.
The general fund budget, the portion of the budget most directly impacted by local property taxes, is expected to use $155,086 of fund balance for 2026-27 due to transfers out for capital improvement projects. The city is expected to spend $11,170,656 in the general fund for the 26-27 fiscal year, an increase of 2.72 percent from the current fiscal year, compared to revenues of $11,015,570, according to the budget document.
The city plans to transfer out $1.5 million out of the general fund for municipal street projects, $600,000 to the Howard Miller Library and $100,000 to the Shopping Area Redevelopment Board (SARB), Plockmeyer said.
The 2026-27 budget proposal calls for $7,984,043 of investment in capital projects for the city. Highlighting the project list is a planned $3 million reconstruction of 84th Street, which is linked to the ongoing construction of JR Automation’s new global headquarters at the southwest corner of 84th and Riley Street. That project is expected to be paid for through bonds, which would then be repaid through brownfield tax increment capture.
Also on the project list is the completion of the Church Street reconstruction project from the city’s Clean Water Plant to Washington Avenue, which has estimated costs of $2,953,543, and the installation of boilers for expansion of the snowmelt system inside the 17 E. Main mixed-use development, a $1.3 million project.
Other capital projects planned for 2026-27 include:
• Milling and resurfacing work on Pine Street, West Lawrence Avenue and Colonial Street ($350,000)
• Acoustic Improvements at Howard Miller Library ($150,000)
• Repairs to the gazebo at Vande Luyster Square ($50,000)
• Irrigation upgrades at Vande Luyster Square ($35,000)
• Irrigation upgrades to the North Parking Lot downtown ($25,000)
In addition to the city capital improvement projects, BPW is planning $5.89 million in improvements in its electric utility and more than $2.32 million in improvements to the water utility. Another $2.5 million worth of upgrades is planned for the Clean Water Plant, Plockmeyer said.
Among the projects planned for the electric utility at BPW include expansion of the northside substation Bus #2. “We’re preparing for industrial load growth,” BPW General Manager Andrew Boatright said.
The utility will also move overhead power lines underground as part of the Church Street project, as well as on 88th Avenue, Woodbridge Street and Cherry Street, Boatright said.
Water utility improvements planned for 2026-27 include new water lines as part of the Church Street reconstruction, additional water main replacements, meter replacements and replacement of galvanized service lines, Boatright said.
The city plans to expend $2,279,168 of governmental reserves for various improvement projects. That includes $1.25 million out of the snowmelt construction fund for the 17 E. Main project, $390,328 out of the various street funds for street improvements, and $381,816 for library projects that include the acoustic improvements and checkout station upgrades.
Even with the investment of reserves, the city’s fund balances are expected to remain strong. The city expects to have a governmental fund balance across all departments of $13,809,034 at the end of the 2026-27 fiscal year, including general fund reserves of $5,832,448.
“That’s the cycle, where we like to save money, and when we have some of these big projects, then it’s time to spend,” Plockmeyer said.
No change in the city’s millage rate is planned. The tax rate has stayed at 11.1354 mills since 2010, except during the COVID pandemic when the rate was reduced. With the city’s tax base up 7.06 percent from the previous year to more than $680.4 million, each mill will generate $651,626 in revenue for the city, up from $609,688 a year ago, Plockmeyer said.
“Maintaining the millage rate is not coming at the expense of not investing and reinvesting in this community,” Plockmeyer said.
The budget proposal includes an increase in special assessments to downtown businesses that are part of the Shopping Area Redevelopment Board (SARB). The downtown special assessment that includes general maintenance, snowplowing and planters is expected to be $56,044, while another $43,161 is being assessed for operating and maintaining the snowmelt system, Plockmeyer said.
The new budget also calls for increased spending for public safety - $4,095,163 compared to $3,897,789 in the current fiscal year. Spending for the police department is budgeted at $2,115,649, up from $1,976,107 in the current budget, with the major purchase expected to be updating the department’s dash and body cameras, a projected $50,000 expense. The fire/rescue department has a projected budget of $1,665,401, up from $1,610,390 from the current fiscal year.
BPW is projecting a net loss in its electric utility operations of close to $2 million for 2026-27, but expects to finish with a cash surplus of $291,501, increasing the cash balance at the end of the next fiscal year of nearly $16.9 million, according to the budget document.
“The power supply costs have gone up significantly. We’re trying to do our best to project those (costs). We’re trying to project the revenues associated with that … there’s not a lot to trim in here, when 80 percent of your costs are directly related to purchasing the power,” Plockmeyer said.
BPW is projecting a water utility operations net loss of $321,512 and the use of $1,240,240 of cash reserves, reducing the cash balance at the end of 2026-27 to $8,946,170, according to the budget document.
BPW plans to institute a 1.5 percent rate increase for electric and a 4.9 percent hike for water in January 2027, matching similar increases that took effect in January of this year.
Plockmeyer praised the work of department heads as well as the finance department staff in putting the budget proposal together.
“They do a great job of requesting what they need … but there are a few wants sprinkled in there,” Plockmeyer said.
The city budget is expected to be approved in May following a public hearing.
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