City Judge Rules Against Elected Comptroller in Dispute Over Duties Transferred to City Manager

GRAND RAPIDS, MI – The city of Grand Rapids has suffered a setback in its ongoing legal battle with elected comptroller Max Frantz, who alleges that various officials violated the city charter by transferring his duties and budget to other offices.

Judge George Jay Quist of the 17th Circuit Court of Kent County ruled against Frantz last month in a lawsuit challenging the consolidation of financial services under the city manager's office. The judge denied Frantz's request to enjoin employees outside his office from performing duties previously housed in his office and also rejected his request that the court order Grand Rapids to pay his legal expenses.

Charter Violations at Center of Dispute

Frantz, in a lawsuit filed in December 2025, said that officials violated the city charter, the rough equivalent of the city's constitution, by transferring several responsibilities from his office to the city manager and others in the executive branch.

The comptroller, a part-time position, is elected independently to a four-year term, and the charter gives specific responsibilities to the office, Frantz said. The city manager and attorney started to downsize his office after he had lodged several complaints about city employees, including the city manager and chief financial officer.

The next month, Frantz said, the city manager and attorney started a move to transfer some of the comptroller's responsibilities to the city manager's subordinates. The transfer involved 13 employees and $1.3 million in funding.

"As evidenced by the comptroller's recently presented annual comprehensive financial report," Guitar continued, "the City fully embraces the comptroller's independent review and reporting of our public finances."

The quote appears to reference comments from city officials defending the comptroller's role, though the full context remains unclear in available reports.

Three-Division System Under Fire

The Grand Rapids City Commission appoints the city manager to serve as the chief executive officer for the city. Meanwhile, Frantz is an elected official whose term stretches through 2026. Commissioners appointed Frantz as comptroller in December 2019 after the previous comptroller resigned. He won a four-year term when he ran unopposed in 2022.

"My concern is absolutely misuse of authority," Frantz told CapCon in a phone interview. "These internal controls were set up for a reason. Whether it's something one week from now, six months from now, or five years from now, the groundwork has been laid to create that type of environment to allow for misuse of authority by concentrating all of these powers under one individual or office, which our charter doesn't authorize."

The city charter creates three divisions to manage finances. The treasurer collects city money, the city manager builds the budget, and the comptroller issues payments of funds and provides accounting to the public.

"This is how the system is set up by design," Frantz said. "We've had checks and balances in our government that really serve to benefit the public. The issue is that the city manager with this fiscal services department created financial officers reporting to the city manager, which have usurped the duties of the comptroller's office," Frantz added.

Internal Conflict of Interest Concerns

Consolidating spending and auditing functions in the same department is a clear internal conflict of interest, Nicholas Gumina, an attorney at Eardley Law offices that represents Frantz, told CapCon in a phone interview.

The Role of the Comptroller

The comptroller's office plays a critical role in Grand Rapids' financial oversight, serving as an independent check on city spending and operations. Frantz's lawsuit highlights concerns about the erosion of this independence and the concentration of financial power in the executive branch.

The lawsuit has drawn attention from citizens who worry about the balance of power in city government. Frantz argues that the consolidation of duties undermines the checks and balances built into the city charter, potentially creating an environment where financial misconduct could go unchecked.

What's Next

The court's denial of Frantz's motions marks a significant setback in his legal challenge. The comptroller continues to serve in his elected role, but the ruling suggests that the current financial structure will remain in place unless the city commission takes additional action.

The ongoing dispute between the comptroller and city officials raises important questions about financial oversight, transparency, and the role of elected officials in city government.