Cities Preparing for Lower Revenues

As recession-reduced property tax levels begin to play out in cities across the U.S., municipalities are beginning to react to the realities of lowered revenues.

Local governments are expected to see shortfalls of about $83 billion, according to this column from Neal Peirce.

"Will "higher" governments help out? Not likely right now. Washington will be focused on deficit trimming. States have their own budget nightmares. And then there's raw partisanship. Republicans made net gains of six governorships and some 680 legislative seats in the mid-elections; even if commiserate with cities, they'll fear Tea Party retribution if they lift a finger to help.

If there's any good news, says Chris Hoene, the National League of Cities' fiscal guru, it's that actual city bankruptcies remain rare, that over 90 percent of localities are balancing their budgets - so far. And that while some mayors see massive layoffs coming, others say they're using this moment to clean up inefficient bureaucracies."

Full Story: Cities’ Fiscal Nightmares: What’s Next?

Comments

Prepare for the AICP* Exam

Join the thousands of students who have utilized the Planetizen AICP* Exam Preparation Class to prepare for the American Planning Association's AICP* exam.
Starting at $245

Essential Readings in Urban Planning

Planning on taking the AICP* Exam? Register for Planetizen's AICP * Exam Preparation Course to save $25.
Woman wearing city map tote bag

City Shoulder Totes - New Cities Added!

Durable CityFabric© shoulder tote bags available from 9 different cities.
$22.00
Planetizen Courses image ad

Looking for the perfect last-minute gift?

A one-year subscription to Planetizen Courses is the gift that will continue giving all year long.
$144