Des Moines city staff reported during a Monday morning work session that the $11.5 million budget gap identified for fiscal year 2028 has been eliminated. The shortfall was closed after cuts made in September, according to KCCI.

The announcement follows a May briefing in which the city disclosed it was facing a roughly $12 million shortfall for FY2028 and a $5 million shortfall for FY2029. Those figures highlighted a growing fiscal challenge for the municipal government, prompting officials to seek immediate cost‑saving measures.

During the recent work session, staff confirmed that the September reductions successfully closed the FY2028 gap, removing the need for additional emergency actions to balance the city’s budget for that year. While the exact nature of the September cuts was not detailed in the report, the outcome restores a balanced budget outlook for FY2028.

City leaders indicated that attention will now shift to the FY2029 shortfall. Planning to address the projected $5 million gap is slated to begin next year, allowing officials time to evaluate options and develop a comprehensive strategy. No specific timeline or set of measures for FY2029 was disclosed in the current briefing.

Closing the FY2028 gap matters to Des Moines residents because it ensures that the city can continue to fund its operations without resorting to abrupt service reductions or unexpected tax increases for the upcoming fiscal year. Maintaining a balanced budget also supports the city’s ability to plan for long‑term projects and maintain financial stability.

What’s next: City officials will commence a detailed review of the FY2029 budget shortfall in 2025, with the goal of identifying cost‑saving measures or revenue options before the fiscal year begins. Residents can expect further updates from city staff as the planning process unfolds.

Sources: kcci.com