Baltimore’s $4 Billion Budget A Resilient Plan Post-key Bridge Tragedy

Baltimore’s $4 Billion Budget: A Resilient Plan Post-key Bridge Tragedy

The Francis Scott Key Bridge collapse is on everyone’s mind as the city releases its 2025 budget.

Mayor Brandon Scott released the fiscal year 2025 preliminary budget. He thinks it’s too early to determine if and how much the Key Bridge collapse would affect the city’s plans.

“At this point in the process, we made no changes to our preliminary budget as a result of last week’s tragedy. It should also be highlighted that in the days following the collapse, the S&P confirmed Baltimore’s AA rating and a stable outlook, which is incredibly crucial for supporting our city’s fiscal health,” stated Mayor Scott.

The city continues to prepare for the long-term effects of a tragedy.

The budgetary planning process began with a $107 million deficiency. That deficit has been closed without any service reductions or layoffs.

They took initiatives to balance the budget, including using new license plate scanner technology and dismissing 89 posts that had been vacant for a lengthy period.

Identifying efficiencies within agency budgets that will save the city $20 million each year.

“We are presenting a budget that completely covers the difference without furloughing personnel, closing fire stations or recreation centers, or reducing city services. “Or turning our backs on Baltimore’s future priorities,” Mayor Scott stated.

Despite a 6% decrease in this year’s $4 billion budget, city leaders believe they are in a great position going into 2024.

“The entire financial plan falls year after year. This is mostly due to reduced federal, state, and special fund appropriations. We’ve modified how we budget for grants. So, under the old system, we budgeted based on what we expected to receive. What we are doing today is budgeting based on known grant awards. “This change does not reflect a loss of grant funding,” stated Laura Larsen, Budget Director for the City of Baltimore.

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