So who’s going to suffer? Check out the bolded statement below. I think we should go to referendum for these projects to increase the levy, instead of continuing to cut elsewhere – there’s no fat left to cut. If the public wants these projects, referendum will pass.
Council President Verveer and Members of the Common Council:
On Monday night, the Board of Estimates decided to move up the Midtown Police District and Fire Station 14 projects. As you know, the implications of these projects are not solely limited to the City borrowing to design and construct new facilities at a cost of over $16 million, but also involve significant operating costs at a time when we have few revenue options and on-going concerns about property taxes for businesses, families and seniors.
The Midtown Police District will require nearly $1 million in additional annual operating costs in 2018.
Staffing and equipping Fire Station 14 will cost $1.2 million in 2018 and another $750,000 in 2019.
These two projects together will require $2.2 million of tax levy in 2018. Meeting these additional operating costs will mean fewer investments in other critical programs that help achieve equity and economic growth in our City. Using all of the City’s levy limit authority, together with rising debt service for an expanding capital budget, the City taxes on a typical home could go up 5.5%, or by $133, in 2018, and the budget would still not be in balance.
Assuming our economy continues to grow and new construction value is added at the current rate of 2% annually, the levy limit for operating purposes could increase approximately $6 million.
Keeping our current operations going will cost $6 million, primarily for pay increases, wage equity, and fringe benefit costs.
The operating costs for Midtown and Fire Station 14 create a $2.2 million deficit. In addition, while we have been fortunate in the past few years with health insurance and pension costs – those positive trends could change, adding to budget pressures.
We have very few options besides the property tax. Even short-term federal grants leave the City eventually paying the entire operating cost.
Public safety services are most definitely a priority – since 1999, public safety staffing has grown more than twice as fast the rest of City government.
But we also plow snow, pick up garbage and recycling, clear leaves and brush, install street and traffic lights, ensure fair elections and safe dwellings, and invest in equity by paying to operate libraries, parks, neighborhood centers, clinics and buses.
We cannot build both a police station and a fire station in a one- to two-year period and simply absorb it in the operating budget. Other programs, aspirations, expectations and goals for our residents will have to be curtailed and set-aside.
While my 2017 executive operating budget adds 4 new police patrol officers by funding the former Education Resource Officers from the City tax levy, I did not provided operations funding for either the Midtown Station or Fire Station 14 in my 2017 executive operating budget. According to the Police and Fire Departments, $500,000 is needed in 2017 to begin recruiting, hiring, training and equipping 34 new positions for these two new facilities (7 at Midtown and 27 at Fire Station 14).
Paul R. Soglin
Mayor
City of Madison
210 MLK Jr. Blvd
Madison, WI 53703
