Dangers ahead for mayor-elect

Vincent C. Gray faces several challenges: a looming fiscal crisis, a divided city, and associations with individuals and businesses with questionable ethics. Unless addressed promptly and forthrightly, they could severely damage his mayoralty — even before he’s inaugurated.

The current budget shortfall of $175 million has been addressed somewhat by the hiring and spending freeze ordered last month by Mayor Adrian Fenty. But Gray has said the problem could balloon to more than $300 million by 2012 — the first budget for which would be responsible. Before he talks tax hikes, Gray has to reduce spending, cutting programs and streamlining agencies. Failing to take such action could signal he lacks toughness.