Despite Coronavirus-Related Losses, Proposed Baltimore City Budget Does Not Include Tax Increase, Does Include Hiring, Salary Freezes For Employees
BALTIMORE (WJZ) -- Baltimore Mayor Jack Young is releasing a revised fiscal year budget proposal for the city which reflects coronavirus-related costs and losses.
The proposed budget for fiscal year 2021, was completely rewritten in early April as the city's finances took a turn following the COVID-19 pandemic.
In March, Mayor Young proposed a hiring freeze for any nonessential workers. and mandated a freeze on spending. Those will remain into fiscal year 2021.
"This was an incredibly difficult budget process," Young said. "Every City and county in the country are facing difficult budgetary decisions, and Baltimore is no different. What sets us apart, however, is the fact that even in the face of financial pressures, our commitment to our children and families is rock solid. The budget I presented makes very clear that Baltimore values its children, older adults, and most vulnerable residents. Even with the economic downturn, I believe that this is a smart and realistic budget."
The mayor's new budget protects core city services and functions but invests heavily in five key priority areas.
Young proposes a total city budget of $3.8 billion for fiscal year 2021, which starts July 1. This includes $3 billion of operating expenses and $832 million of capital investments.
Due to coronavirus, the city estimates a trimming of $103.1 million to account for revenue losses.
City services like police patrol, emergency response services, trash collection and recycling, and direct health services are maintained in the new budget. There are also no new taxes or increased fees and the city's property tax rate remains flat.
The mayor has gone to the city police and firefighter unions to propose several scenarios, some of which include layoffs. But, Young said it's the last thing he wants to do.
Those options are a salary freeze and possible furloughs, in lieu of layoffs.
City officials say they are still awaiting a response from the unions.
A breakdown of key Investments:
Children and Families: The Mayor's budget includes record investments in public education. The Mayor's budget includes funding to pay for historic school construction as part of the State's Build to Learn School Construction Program. In addition to the more than $400 million invested in direct payment to the Baltimore City Public School System, the Mayor's budget also includes nearly $100 million of additional spending on youth-related programs, like laptops for students to do distance learning, YouthWorks summer jobs, and other initiatives.
Public Safety: The Mayor's budget includes $1.4 million to pay for two new Baltimore Community Intelligence Centers. The centers are modeled after a successful crime-fighting strategy that showed successful results in Chicago. The Mayor's budget also invests heavily in patrol and community-oriented policing.
A Clean and Healthy City: The Mayor's budget includes investments in the City's capital infrastructure, like water, wastewater, and stormwater funds. The budget includes a total of $608 million of new capital investments, like improvements to treatment facilities, pumping stations, stream restorations, and drainage upgrades.
Equitable Neighborhood Development: The Mayor's budget invests $42.1 million to grow the Housing Department's community development framework, which includes services like demolition, homeownership incentives, and affordable housing. The Mayor recognized that cultural institutions and attractions represent an important part of a City's vibrancy and health. To that end, Mayor Young's budget maintains funding for arts institutions and cultural attractions that have been hit hard by closures due to the COVID-19 pandemic.
Innovative Government: In the face of a challenging budgetary outlook, Mayor Young decided it critically important to also invest in innovative solutions to the tough challenges that cities like Baltimore face. The Mayor's budget includes $10 million for a variety of IT infrastructure projects that includes an upgraded data warehouse, new cable and wiring, and investments in new cyber-security tools.
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