Though private sector employment shows signs of recovery, the National League of American Cities predicts 500,000 municipal workers will lose their jobs over the current and coming fiscal years. The Economist considers solutions.
According to The Economist, decreased revenues from property and sales taxes and increased costs from boom time pension promises based on "wildly unrealistic investment assumptions" have left many cities running budget deficits. The Economist says most municipalities eventually turn to staff cuts to bridge the gap.
A recent forum by the Miliken Institute suggested other measures local governments might take, says the Economist:
"Municipalities should adopt better accounting standards, dole out saner pensions and start rainy-day funds-all of which might help in recessions yet to come. They might put fewer people in county jails or broaden their revenue base by extending sales taxes to services (which many currently exempt). They might even merge with other municipalities to eliminate duplication of services...The other option is to ask the federal government for help, though given the mood of the electorate regarding stimulus and bail-outs, that would be controversial."
FULL STORY: Municipal troubles: All economics is local
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LA Councilmember Paul Krekorian discusses reducing the city's budget deficit, the impacts his decisions will have on core services and civil servants, and the tolls that come with taking on a budget crisis during a period of fiscal austerity.
Philly Suburb Cities Feeling the Pinch
Townships surrounding Philadelphia have managed to survive the recession until now, but city coffers are now going into the red and cities are being forced to take action.
Seattle Makes Historic Affordable Housing Investment
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Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
Canada vs. Kamala: Whose Liberal Housing Platform Comes Out on Top?
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Paris Voters Approve More Car-Free Streets
Paris Mayor Anne Hidalgo says the city will develop a plan to close 500 streets to car traffic and add new bike and pedestrian infrastructure after a referendum on the proposal passed with 66 percent of the vote.
Making Mobility More Inclusive
A new study highlights the challenges people with disabilities continue to face in navigating urban spaces.
Texas Bills Could Push More People Into Homelessness
A proposal to speed up the eviction process and a bill that would accelerate enforcement of an existing camping ban could make the state’s homelessness crisis worse, advocates say.
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