This Ann Arbor City Council meeting was held in person at City Hall. Members of the public can participate in public hearings and public comment either in person or via phone.
A2Council Update Video
Ann Arbor City Council Meeting Summary
In public comments before the meeting, City workers from AFSCME spoke out with concern about contract negotiations.
APPROVED: City budget for FY2027, including the addition of 30 staff. (Legistar)
- The proposed budget can be found at this link: https://www.a2gov.org/media/nqxdr0p5/fy27-proposed-budget.pdf
- Previous annual budgets can be found at this link: https://www.a2gov.org/finance-and-administrative-services/financial-reporting/
- An overview of the FY2027 budget was presented to City Council on April 20, including recommendations for use of proceeds from the sale of the Kline lot. (Legistar)
- In 2021, Jennifer Hall (Housing Commission director) estimated that 400-600 units of affordable housing could be developed on the City-owned Kline lot. In July 2024, City Council unanimously approved use of a broker to sell the Kline lot for private development. In September 2025, City Council unanimously approved the sale of the Kline lot to the highest bidder.
- As directed by Council, the property will be sold for market rate (luxury) housing and the City will receive $17.4 million in proceeds. As part of the FY 2027 budget, City Administrator Dohoney proposes that about 18% of the proceeds support housing and shelter needs (Housing Commission, Ozone House, Delonis Center). Nearly 30% of the proceeds will fund property acquisitions and legal services related to buying and selling City property for “economic development.”
- https://www.mlive.com/news/ann-arbor/2026/05/ann-arbor-approves-650m-budget-with-focus-on-public-safety-climate-action.html
BUDGET AMENDMENT APPROVED: $700,000 to fund Rising Hope for Housing program. The money will come from Marijuana Excise Tax revenue and funds from an opiate litigation settlement.
BUDGET AMENDMENT APPROVED: Add two full time firefighters. The Amendment removes one vacant position in Human Resources and allocates $55,000 from General and uncommitted funds.
DEFEATED: Proposed amendments to a Planned Unit Development (PUD) district would permit residential units to be used as short term rentals (Airbnb). The property at 414 S Main was formerly office space and has been converted to residential units. The building is part of a PUD district at Ashley Mews with supplemental regulations that describe permitted uses, including residential. Requested changes to this portion of the PUD district will amend the supplemental regulations in order to allow the same uses as a D1 (Downtown) district. The changes have been requested to permit dedicated non-owner occupied short term rentals in the building. (Legistar)
- Only Council Member Lisa Disch voted to approve.
- This request was first submitted in 2022, when staff explained: “The petitioner has expressed a possibility of short-term rental uses by non-owner occupied tenant. While the use is permitted in the D1 Zoning district, the structure of the existing PUD regulations precludes that use in the high rise section of the development.” (Legistar)
- At a public engagement meeting in December 2022, residents raised concerns about allowing short term rentals in the building and the property owner’s lack of transparency in explaining future plans. A report on that meeting was submitted to the City. (Legistar) (see page 10-14)
- The owners of 414 S Main did not follow through on the 2022 request, but resubmitted the same request in 2025. At a public engagement meeting in December 2025, residents raised similar concerns about short-term rentals.
- For a recording of that meeting, see:
https://a2council.com/ashley-mews-414-s-main-st-resident-participation-meeting-december-18-2025/ - The Planning Commission approved this change on April 7, 2026.
https://a2council.com/ann-arbor-city-planning-commission-april-7-2026/
APPROVED: A rate schedule for the Sustainable Energy Utility (SEU) for municipal solar arrays and homes in the Bryant Neighborhood PILOT program. Moving forward, City departments will pay fees to the SEU for solar installations and battery storage at City buildings: $14 per month for every installed solar energy kWDc and $14 per month for every kW of battery storage capacity. Customers in the Bryant neighborhood will pay a flat fee of $600 annually: $75 per month (April – September) and $25 per month (October – March). The SEU anticipates having 100-150 customers in the Bryant neighborhood, where the City would install solar arrays on homes as part of a PILOT program. (Legistar)
- https://www.mlive.com/news/ann-arbor/2026/05/ann-arbor-sets-600-flat-yearly-rate-for-new-electricity-alternative-to-dte-energy.html
- https://www.mlive.com/news/ann-arbor/2026/05/nearly-1400-potential-customers-on-waitlist-for-ann-arbors-sustainable-energy-utility.html
APPROVED: The Office of Sustainability and Innovations (OSI) proposes a temporary expansion of the Home Energy Rebate program to include new all-electric cars. Council will allocate $500,000 of Climate Action millage funds toward giving local residents and businesses discounts of up to $7,500 on brand new all-electric vehicles and up to $4,000 on used all-electric vehicles. (Legistar)
- The resolution explains that this is in response to the “very real economic impact” facing Ann Arbor families and businesses due to rising gas and diesel prices.
- The least expensive new all-electric vehicles appear to start at about $30,000
- https://www.motortrend.com/features/cheapest-electric-cars
- In 2024, City Council allocated $4,250,000 toward the Home Energy Rebate (HER) program, to be spent in Fiscal Years 2024-2026. The City signed a contract with “Elevate Energy” to administer the program and invoice the City for costs up to $600,000. (Legistar)
- In its first year (June 2024 – July 2025), the HER program provided 523 rebates adding up to a total of $676.533.44. Over a third of that total was awarded in rebates for solar storage and mini/multi-split air-source heat pump systems; the program spent $253,294.67 on 85 rebates, an average of about $3,000 per rebate. Over 15% of rebates (90) were for cargo and standard e-bikes, about 9% of funds spent ($61,490.51). Multiple rebates can be awarded to a single household.
- Higher rebates are offered to “income eligible” households, defined as 120% of AMI. Under this standard, a single person household with annual income of $104,200 is “income-qualified.” A five person household with annual income of $160,800 is also “income eligible.”
- A ten page End of Year report for the HER program – prepared by Elevate Energy and Michigan Energy Options – can be found here: (link)
- https://www.mlive.com/news/ann-arbor/2026/05/ann-arbor-offering-limited-time-rebates-up-to-7500-for-electric-vehicle-purchases.html
APPROVED: A resolution of mostly Whereas clauses describes Council concern about the acquisition of Concordia University property by the University of Michigan. This property is located at Geddes and Earhart. Council directs the City Administrator to transmit this resolution and a companion letter to the University and “continue working with the administration.” (Legistar)
- A staff summary of the resolution explains: “The City Council urges the University of Michigan not to acquire the Concordia property making it at least theoretically possible that it could be shifted to the tax rolls.”
- https://www.mlive.com/news/ann-arbor/2026/05/ann-arbor-officials-urge-university-of-michigan-to-not-buy-concordia-property.html
- Two days after the Council vote, University Regents voted to approve the $60 million purchase. https://record.umich.edu/articles/u-m-to-purchase-concordia-universitys-geddes-road-campus/
A2ELNEL Voting Chart
