MILWAUKEE -- Milwaukee Mayor Tom Barrett presented on Tuesday, Sept. 24 his proposed city budget to the Milwaukee Common Council. The budget plan presents a dire outlook for the city's pension fund -- if action is not taken by city leaders now.
Milwaukee Mayor Tom Barrett
"Here's the biggest problem heading our way. By 2023, we will face challenges to the levy-supported budget that put us in an untenable situation," the mayor said. "Our employer pension contribution, driven by public safety, is currently projected to rise dramatically. Our state shared revenue payment remains flat -- certainly not keeping up with inflation. And our costs for providing basic and necessary city services climb every year."
Mayor Barrett proposed setting aside $8 million to begin to meet the pension obligation that will come in 2023, with the city's current annual contribution to the pension fund roughly $70 million.
"But here's the shocker. In three years, 2023, our required annual contribution could rise by almost $100 million. We have to prepare for that," Barrett said. "To reach the $100 million number, you'd have to eliminate the budgets of the Health Department, Employee Relations, City Development, the Department of Administration, the Treasurer, Neighborhood Services, the library, and the Common Council City Clerk. And even after eliminating those departments, you'd still be millions short."
Property taxes
The mayor also proposed raising the tax levy by 3.5% to provide core city services such as snow plowing, patching, and repaving streets, and responding to emergencies. Barrett told city leaders an average residential property would see property taxes go up by about $37, with fees up about $22, so a property owner would pay about $59 more in 2020.
"Increases in property values also mean our property tax rate will actually decrease by a penny," Barrett said.
Lead abatement
Mayor Barrett proposed spending $21 million to continue to reduce lead exposure to city residents. That would include $13.6 million for lead service line replacement, testing, and filters for at-risk households. The mayor said his plan would allow more than 1,000 homes to have their service lines replaced.
Crime and policing
The mayor touted key crime statistics being down in the city, with homicides, non-fatal shootings, and robberies all down.
"Even with this success, the budget forces us to take a look at the sworn staffing levels at the police department," Barrett said.
In the mayor's budget proposal, he suggested increasing the line item for police salaries -- and reducing the number of officers from 1,864 to 1,804. Those reductions would not come from layoffs, the mayor said. Instead, they would come from retirements.
County-wide sales tax support
Barrett also pushed for support of a county-wide sales tax -- which has been proposed. He suggested if the sales tax were approved, there would be no police cuts, the city would be able to provide equipment for the fire department, and there would be money to fix streets and abate lead.
"I need your help. Our residents need your help. The city is at a crossroads," the mayor said. "We need all hands on deck -- and that means each and every one of you. It's about the future of the city we all love."
CLICK HERE to view the complete text to Mayor Barrett's speech
Alderman Tony Zielinski