Detroit Mayor Ken Cockrel Jr. will propose deep budget cuts during a meeting of the Detroit City Council on Monday night, cuts made necessary by a ballooning deficit and reduced revenue as the city finds itself taking the brunt of the economic downturn and auto industry woes.
He is to propose that the reductions come in the form of layoffs and position eliminations from every city department except the Department of Transportation and the Water and Sewerage Department, Cockrel spokesman Anthony Neely said. He provided no specific numbers.
Neely said Cockrel plans to submit “a structurally balanced budget.”
Neely called the budget “one of the largest year-to-year reductions in city history,” though it is separate from the mounting deficit.
The city faces a $300 million deficit. Cockrel’s proposed cuts are expected to reduce the budget by $175 million. The hope is that these cuts can happen without sacrificing much in the way of services to the city’s residents. With the mayoral election only three weeks away, the reception given to his plan by the city council and by voters may prove crucial if Cockrel is to hold off a challenge by former Pistons standout and businessman Dave Bing.