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Amid the epidemic turmoil, Salt Lake City Mayor Irene Mendenhall presented the first budget

 


When Salt Lake City Mayor Irene Mendenhall took office this year, the city was looking for a surplus. What difference does the epidemic make?

A highly contagious virus forced companies to close along with a wave of devastating earthquakes, meaning the Mindenhall administration needs to rethink the proposed budget, which it presented to city councilors at a virtual meeting Tuesday night.

“At the beginning of last fiscal year, our country as a whole was going through the tenth year of economic expansion, with one of the most diversified economies in the country,” Mendenhall said.

All this economic growth led to a surplus in the city’s “historical” budget in the last half of fiscal year 2020.

“Now, in the midst of the rapid change that has overwhelmed our world, we are fortunate to be in a situation where we will not only be tolerated, but will evolve as a stronger community after the epidemic,” Mendenhall said.

With no known cure for coronavirus and vaccine in months or years, it’s difficult to make predictions of future funding for the city. The Mindenhall office expected the first two quarters of the next fiscal year, which begins on July 1, by looking at sales tax trends during the epidemic as well as strikes on revenue during the 2008 recession. The administration also takes note of Utah’s Economic Task Force COVID-19, which You expect the state’s economy to be out of the “urgent high-risk” stage by mid-June and full recovery to begin by mid-October.

With all these factors in mind, the mayor expects revenue to return to normal by the middle of the second quarter.

The recommended budget estimates $ 1.3 billion in expenditures for the fiscal year 2021, more than a third below the 2020 budget. The administration expects a 8.9% decrease in sales tax revenue due to the complications of the epidemic.

Despite economic uncertainty in the future, the mayor said she is “confident” of avoiding layoffs and wage cuts for city employees, although there will be a job freeze until January.

The mayor described the 5.7-magnitude earthquake north of Utah as a “wake-up alert”, highlighting the need to maintain city-owned buildings, repair roads and repair the two bridges affected by the earthquake. A total of $ 10 million is proposed for streets, sidewalks and transportation. Mendenhall also plans to allocate funds to upgrade the IT servers in the public safety building, although the budget does not appear to include a specific lineup for these expenses.

Mendenhall is looking to prioritize arcade and park projects as well, especially as city dwellers spend more time outdoors recreating entertainment during periods of social exclusion. The planned construction of the Folsom Trail will continue this fall, according to the Mendenhall Show, creating a mixed-use path connecting the Jordan River Parkway and the city center. Mindenhall has earmarked an additional $ 505,000 for the road projects specified in the city’s latest Foothill Trail Master Plan.

The mayor plans to move forward with funding a $ 450,000 planning process for Allen Park or “Hobbitville”, which the city bought for $ 7.5 million in late March. Mendenhall also plans to make its equity and improvement plans a priority in the coming year.

“While we are realistic and wise, the current crisis has not deterred us from big and bold ideas, and this budget has many of them,” Mendenhall said.

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