Mayor Jacob Frey delivers 2026 budget address

August 13, 2025
Mayor

Minneapolis Mayor Jacob Frey delivered his 2026 Budget Address in front of Council Members, City leaders, and community and business partners. The mayor’s proposed budget reflects a disciplined, long-term vision for a city “built to last,” with investments in programs and infrastructure that strengthen Minneapolis for decades to come.

Mayor Frey’s budget proposal emphasizes protecting core services, supporting the City’s workforce, and continuing to deliver on Minneapolis priorities: affordable housing, modernized public safety, climate and public health investments, inclusive economic growth, and downtown vitality.

Simply sustaining the City’s current operations would have increased the 2026 property tax levy by 13% -- far too much for residents to shoulder. City staff identified savings and cuts that reduced the projected levy increase by 40%, bringing it down from 13% to 7.8%.

The mayor’s $2 billion proposed budget includes:

  • $23 million in smart savings
  • No layoffs
  • No interruptions to core City services
  • Maintained fiscal reserves to withstand potential federal funding instability

“Great cities aren’t accidents—they are built to last,” said Mayor Frey. “This budget makes disciplined choices to keep Minneapolis strong for the long term. We’re protecting the services residents rely on, investing in programs that work, and building a city that our kids and grandkids will be proud to call home.”

Community safety and police recruitment

  • Supports recruitment to continue rebuilding the MPD, now at more than 600 officers and the most diverse force in city history.
  • Prioritizes a full-spectrum public safety system with police, fire, EMS, civilian responders, and violence prevention efforts working together.
  • Fully funds compliance with the federal consent decree and state settlement agreement, including two new positions in the Implementation Unit.
  • Sustains 24/7 Behavioral Crisis Response (BCR) services and community-led violence prevention initiatives.
  • Advances key public safety capital projects, including the modernization of the 4th Precinct and the Public Safety Training and Wellness Center.

Affordable housing and homelessness response

  • Continues the Stable Homes Stable Schools program, keeping thousands of Minneapolis students and families stably housed.
  • Sustains investments in the Affordable Housing Trust Fund and the Minneapolis Public Housing Authority, putting more apartments and homes to own in reach of more residents.
  • Dedicates $1 million for homelessness response, to ensure shelters can operate safe, dignified, and supportive spaces for unsheltered neighbors.

Climate action and public health

  • Advances the Climate Legacy Initiative (CLI), including investments in cleaner energy, green infrastructure, and waste reduction.
  • Supports the Zero Waste Plan to move toward the City’s 2030 waste diversion goals.
  • Uses opioid settlement funds to launch a Mobile Medical Unit, expand access to Narcan vending machines, and support hospital-based intervention programs for overdose survivors.

Economic inclusion and downtown vitality

  • Supports the Ownership and Opportunity Fund, helping Black, brown, and immigrant entrepreneurs build lasting wealth by owning their businesses and properties.
  • Funds Vibrant Downtown Storefronts and Nicollet Mall activation, keeping downtown lively and welcoming for residents, workers, and visitors.
  • Invests in cultural and commercial districts, including Uptown and Lake Street, through technical assistance and small business support programs.
  • Provides dance programming in schools, downtown, and at the Cowles Center, which is slated to reopen next year under new operator Arts Nest/Zenon Dance Company.
  • Continues outreach and services for vulnerable communities, including immigrants and refugees.

Good governance and fiscal discipline

  • Generates $23 million in savings through vacancy management, scaling back nonessential spending, and prioritizing proven programs.
  • Protects City jobs, avoiding layoffs, and maintains the City’s AAA bond rating, saving taxpayers millions through lower borrowing costs.
  • Budgets responsibly to prepare for potential federal funding reductions amid continued uncertainty in Washington.

“This budget invests in homes that are stable, streets that are safe, neighborhoods that succeed, and a city government that keeps its promises,” Frey said. “We’ve done the hard work to make sure Minneapolis is strong today and built to last for tomorrow.”

The full text of Mayor Frey’s speech as prepared for delivery is attached, and you can watch the mayor’s full address on the City’s YouTube page. 

Read City budget documents here. 

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