Baltimore?s budget surpluses of the past three years have vanished, and lawmakers expect a year of tight finances, tough choices and new challenges.
“?Houston, we have problem,? or should I say Baltimore,” said City Councilman Robert Curran.
“The revenues are not going to be what we had thought; the mayor is not going to have the luxury of a surplus,” Curran said. “We?ll be lucky to be come in on budget, let alone a surplus.”
With budget revenues slightly below projections halfway through fiscal year 2008, finding new sources of cash while maintaining services has emerged as a major concern.
“I think it?s going to be challenge,” said City Councilman Jack Young, chairman of the Council?s budget and taxation committee. “I think we can hold things were they are. That?s going to be interesting with lower revenues.”
Young said he would studying converting the city?s vast number of tax-exempt properties owned by nonprofit organizations into revenue generators.
“We could look at businesses owned by churches, for example, not the house of worship, but other properties owned by churches.”
Young said he would meet with officials from the mayor?s tax-reduction panel to explore the idea.
Council President Stephanie Rawlings-Blake said promoting development should be a priority because new projects would generate tax revenue.
“The Council president strongly believes that Baltimore’s reliance on property taxes causes the city to depend heavily on a sometimes volatile real estate market for tax revenue,” said her spokesman, Shaun Ademic.
Mayor Sheila Dixon?s office also said it expected a frugal year.
“We?re probably not going to see surpluses,” said Sterling Clifford, a Dixon spokesman. “But we?re going to work had to make sure we can meet our commitments to making the city a better place to live.”
