Skip to comments.City of Baltimore is on a path to financial ruin, report says
Posted on 02/06/2013 7:52:45 AM PST by rightwingintelligentsia
WASHINGTON The Baltimore city government is on a path to financial ruin and must enact major reforms to stave off bankruptcy, according to a 10-year forecast the city commissioned from an outside firm.
The forecast, obtained by The Associated Press ahead of its release to the public and the City Council on Wednesday, shows that the city will accumulate $745 million in budget deficits over the next decade because of a widening gap between projected revenues and expenditures.
If the city's infrastructure needs and its liability for retiree health care benefits are included, the total shortfall reaches $2 billion over 10 years, the report found. Baltimore's annual operating budget is $2.2 billion.
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And to think I moved from Detroit area to Baltimore. Cool, I get to see another city self-destruct.
At least they have a better football team.
They are 1%'ers, right?
Don’t care all that much, I’m a NASCAR fan. I was about the only one not waering purple last Friday at the office.
Your city is broke, so you spend another half million dollars to have someone else prove it.
Your estimate is probably pretty close. I would estimate a study like this to take about 4 months with a team of about 8 people to review various aspects of the city’s finances. At a (probably low) rate of $100 p/h that would be a contract for a little over $500K, and a bit more if there are incentive fees involved. If the consultants are any good they are already doing follow on work. LOL