The Mayor’s just published financial projections predict a $1.6M deficit in FY 2021, which grows to $26M by FY 2029 if we stay on our current path of spending and taxation. This is clearly not sustainable, so what to do?
In the survey I posted earlier, I asked the 321 respondents which options they would consider to bolster the city’s finances.
The most popular choice of these respondents by far was:
- Increasing the tax base with more commercial development.
Options gaining middling support were:
- Paying down the unfunded pension liabilities sooner (not sure how we will do that if we are soon to be in deficit territory)
- Passing a tax override
- Passing a debt exclusion for capital projects
Options with some support were :
- Increasing the Community Preservation Act tax surcharge from the current 1% of property taxes to up to 3%
- Increasing the tax base with ultra-high-end housing
Least popular option:
- Cutting city programs and services
These are just 321 data points, however, and there are also some great suggestions in the comments section of the survey. What do those of you who didn’t take the survey think of these options and what other options would you support?