The following table summarizes the growth of Madison's city budget over the last two decades (appropriations are from the city budget books):
| Year | Total Appropriations | increase over previous year | five-year average growth |
| 2010 | $ 18,319,534 | 11.5% | 8.5% |
| 2009 | $ 16,423,781 | 7.5% | 7.9% |
| 2008 | $ 15,282,194 | 9.5% | 6.2% |
| 2007 | $ 13,956,459 | 7.7% | 7.5% |
| 2006 | $ 12,957,630 | 6.4% | 8.7% |
| 2005 | $ 12,177,982 | 8.5% | 8.0% |
| 2004 | $ 11,224,212 | -1.2% | 8.4% |
| 2003 | $ 11,365,446 | 16.4% | 9.2% |
| 2002 | $ 9,768,052 | 13.7% | 6.2% |
| 2001 | $ 8,591,521 | 2.6% | 4.6% |
| 2000 | $ 8,376,521 | 10.8% | 4.4% |
| 1999 | $ 7,558,530 | 2.4% | 3.7% |
| 1998 | $ 7,384,442 | 1.4% | 3.9% |
| 1997 | $ 7,280,377 | 6.0% | 5.2% |
| 1996 | $ 6,868,072 | 1.5% | 18.7% |
| 1995 | $ 6,764,723 | 7.2% | |
| 1994 | $ 6,312,920 | 3.5% | |
| 1993 | $ 6,101,477 | 7.8% | |
| 1992 | $ 5,659,314 | 73.3% | |
| 1991 | $ 3,265,332 | ||
| straight average: | 10.4% | ||
| Olympic average: | 7.0% |
Dropping the single highest increase and the sole decrease on this list, we find Madison's muni-budget has grown 7% every year. It is perhaps interesting to note that Madison's population increased 4.5% during the 1990s and actually decreased 0.9% from 2000 to July 2008.
I don't have economic figures for the entire period handy, but from 2000 to 2007, Madison's median household income increased 16%. Over that same span, the city budget increased 67%.
Madison did enjoy an 8.6% increase in taxable sales during the state's fiscal year 2009 from state FY 2008. But that growth was mostly before the recession hit hard: this calendar year. This year, taxable sales have increased in only two months (February, 9.4%; April, 9.1%). Madison's taxable sales decreased by 1.0% in May, 10.9% in June, 19.5% in July, and 18.1% in August compared with the same months in 2008.
So let's ask the Munsterman question: Can we justify a double-digit increase in our city budget in the midst of a recession, when our current economic data says that by January 1, our local economic growth might be flat at best? Does this big local budget increase represent a lack of fiscal restraint... or does it signal that the state is dropping the ball and forcing our city to pick up some slack?
Second reading of the budget is September 21. Feel free to stop in and ask the mayor those questions.
p.s.: The city also plans to raise your electric rates 10%. Ready to by those home wind turbines yet?
What are the increases for?
ReplyDeleteI'm surprised there hasn't been any discussion about cutting expenses at the City level, prior to saddling taxpayers with such a large rate increase burden when our locals are suffering the most. If we truly have now exceeded Sioux Valley Electric's rural electric rates, that is a sad day for Madison utility users. There must be areas of the City Budget that can be trimmed to reduce the impact of this huge rate hike.
ReplyDeleteIndeed -- did cutting expenses not cross anyone's lips? It may be perfectly justifiable to maintain services at current levels and raise taxes/rates to do so, but I would like to hear a little more discussion of how we're spending our money and whether there are places we should economize during the recession.
ReplyDelete