Number
001659
Version
SUBSTITUTE 2
Reference
Sponsor
THE CHAIR
Title
Substitute resolution authorizing 2001 budget year departmental reductions, the nonexpenditure of funds authorized by the 2001 budget.
Analysis
This resolution, pursuant to statutory and city charter provisions, directs 2001 budget year reductions-the nonexpenditure of funds-relating to funds assigned to city departments which have not yet been expended.
Body
Whereas, The City faced extreme financial pressures during fiscal year 2000, including health care cost increases of 12%, salary arbitration awards exceeding inflationary levels, and significant expenses for public works snow and ice control programs; and
Whereas, These financial pressures created an approximate $9 million shortfall in some city accounts, which amount to less than 1% of the city's total budget; and
Whereas, The City will have to borrow additional funds to close fiscal year 2000 books because Wisconsin State Statutes prevent the City of Milwaukee from transferring between departments with surplus funds and departments with account shortfalls; and
Whereas, Milwaukee must continue to plan and address its financial challenges despite state budget law restrictions and the seven-year freeze of state shared revenue, estimated to have reduced City revenue by approximately $37 million since 1995; and
Whereas, The City must continue to develop long-term financing and budget control strategies to control the growth of property taxes, including:
1. Working creatively with other Milwaukee County taxing jurisdictions to reduce employee health care costs.
2. Pursuing intergovernmental cooperation agreements for city services.
3. Developing cost reduction and efficiency initiatives in the city's value-adding programs and operations.
4. Identifying for elimination non value-adding city programs and operations.
5. Exploring new revenue options and alternatives for financing city servic...
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