Mayor Stephanie Rawlings-Blake’s proposed $2.3 billion fiscal year 2014 operating budget aims to close a $30 million deficit with new taxes and changes in the civilian employee pension systems.
The proposed budget includes a tax cab excise tax of 25 cents a trip, counts on $1 million in revenue from a billboard tax and maintaining the current tax rate, which was set to decline in fiscally year 2014 at parking lots and garages at 20 percent.
"The preliminary budget represents a significant step forward in implementing major fiscal reforms, as we proposed in the 10-year financial plan, Mayor Rawlings-Blake said in a news release. "Implementing the ten-year plan, starting with this year’s budget, will require tough trade-offs and major changes to past practices, but doing so will help us make smart investments that reward the future and help get Baltimore growing again."
The city also plans to phase in a 5 percent contribution to the system from current employees, and changing new employees over to a "defined contribution savings plan." The changes, which were included in the mayor’s 10-year plan, aim to save the city $58 million in nine years.
The preliminary budget also includes plans to add an undisclosed storm water fee to pay for a state mandated watershed protection program.
The budget also include an across the board 2 percent cost of living pay increase for city employees, as well as a new work schedule for city firefighters. Under the plan, they would work a 24-hour shift followed by 48 hours off as opposed to the current schedule of two 10-hour days and two 14-hour days.
The budget also calls for reducing the city’s property tax rate from $2.268 per $100 to $2.248 per $100 as part of the mayor’s plan to decrease property taxes 20 cents by 2020.
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