We were kept in a state of suspense for many months after the governor announced his budget repair plan earlier this year that would have reduce the city’s State shared revenue by $8.3 million this year.  The Legislature fortunately did not go along and adopted a significantly different plan to address the State’s $1.1 billion budget shortfall, one that did not include the immediate and drastic cuts the governor had proposed.

 

That is not to say that Madison is spared entirely under the budget repair bill that was ultimately signed, but the magnitude of the potential loss we face is very much less than originally feared.  We stand to lose between $700,000 and $1.5 million in State shared revenues in 2004.  It’s best to think of that as the minimum we might lose, though, rather than the maximum.  There is a continuing greater than $1 billion structural deficit in the 2004 State budget, and lawmakers will not have the luxury of filling the hole with the one-time tobacco settlement money they appropriated this year.

 

Against the looming backdrop of that recurring billion dollar State budget deficit, I directed city agencies to develop budget requests for 2003 at 98% of the 2002 adopted amount.  Limited funds are being added to the Police, Fire and Public Health budgets in support of prior commitments, future needs to staff Fire Station 11 and the added significance of public health in light of September 11. 

 

Additional funding is being allocated to the Department of Revenue and to Information Services to increase the City’s ability to handle e-transactions involving credit cards and the growth of e-government.  In recognition of the added streets and parklands associated with a growing community, additional funding is being provided to the Streets and Parks divisions.  The expansion of the Lakeview branch library has also been recognized as a prior commitment.

 

Affordable housing continues to be at the top of the list of challenges for Madison, as for cities across the nation.  Producing sufficient housing for low- and moderate-income families will remain a challenge for a long time.  It is heartening, as I noted in my 5th annual State of the City* speech, that the Chamber of Commerce, the County Executive, home builders and environmental groups have determined that this is a priority issue, not only for the City of Madison, but for all of Dane County. 

 

I have already talked with mayors and village presidents of communities that abut Madison about the concept of inclusionary zoning as a way to boost the supply of affordable housing.  Briefly, inclusionary zoning calls for the creation of a percentage of the residential units in each newly platted subdivision or development to be available to people of low- or moderate-income.  For an inclusionary zoning ordinance to be effective, it must be adopted in jurisdictions outside Madison as well.

 

Perhaps the most momentous topic of discussion between the City of Madison and its neighbors, however, concerns the future of the Town of Madison.  The governor vetoed a provision of the budget repair bill that would have allowed the City to annex the town with a simple 2/3rds vote of the Common Council.   While the governor’s veto was not surprising, it was disappointing.  The town is now a number of islands separated and surrounded by the cities of Madison and Fitchburg. 

 

Even before the governor vetoed the measure, Fitchburg filed a notice of intent to annex approximately 90% of the town.  I initiated a meeting with Town of Madison and Fitchburg officials to discuss efficient service delivery to all residents on the southern edge of Madison.  Staff has been asked to develop some possible ways to address the issues, and elected officials of the three communities will meet again the week of August 19. 

 

Hopefully, this is an opportunity to establish a sensible boundary between the cities of Madison and Fitchburg, one that ensures that the approximately 7,000 Town of Madison residents are best served by the efficient and cost effective delivery of a full range of urban services. 

-Susan J.M. Bauman,Mayor

 

 

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