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IPFS News Link • Economy - Economics USA

More than 2,100 U.S. cities brace for budget shortfalls because of coronavirus...

• https://www.inquirer.com, by Tony Romm

More than 2,100 U.S. cities are anticipating major budget shortfalls this year and many are planning to slash programs and cut staff in response, according to a new survey of local officials released Tuesday, illustrating the widespread financial havoc threatened by the coronavirus pandemic.

The bleak outlook — shared by local governments representing roughly 93 million people nationwide — led some top mayors and other leaders to call for greater federal aid to protect cities now forced to choose between balancing their cash-strapped ledgers and sustaining the public services that residents need most.

"There's no question that the coronavirus pandemic has had, and will have, a major impact on cities of all sizes," said Clarence Anthony, the executive director of the National League of Cities.

The NLC joined with the U.S. Conference of Mayors to conduct the early inquiry into the economic effects of the novel coronavirus, finding that many local governments are bracing for sharp declines in tax revenue as businesses shutter, workers lose their jobs in record numbers and tourism grinds to a halt.


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