Thursday, March 26, 2020
TKC EXCLUSIVE!!! CORONAVIRUS IMPACT BUSTING KANSAS CITY BUDGET!!!
Here's an economic heads up about the state of our busted KCMO budget and how years of structurally imbalanced City Hall financing have worsened the crisis now confronting 12th & Oak.
A preview . . .
KANSAS CITY QUEUES FOR MUNICIPAL BAILOUT
Water/Sewer + Streets/Bridges/Sidewalks/Sinkholes + NEW Airport Terminal + Convention Hotel + Power and Light District debt + 18th and Vine District + ToyTrain + Free Buses + Downtown Baseball Stadium + Out-Of-Control Public Safety Budgets + Pre-Existing High Tax Burden + Subsidizing Luxury Residential Towers/Garages + Subsidizing Wealthy Private Companies + City Hall Shutdown 1 Month
What do you think the retirement systems financial report of April 30, 2020 will indicate?
Luckily, a KC insider answers this question for us . . .
"There's a clear multi-year trend here, and it's not good . . . KCMO pension obligations account for about 15% of budget obligations right now. With DRASTICALLY REDUCED REVENUES along with requirements to maintain public safety funding . . . The math simply doesn't add up."
Lesser sources note: "Pensions were underfunded by more than $733 million when the last fiscal year ended in April 2018." In 2019 the liability number rose to $787,888,848.
In other words, KCMO is going to need a big chunk of that stimulus given that 12th & Oak is just about as financially unstable as local households who will forgo about a month of income under the threat of a pandemic.
Politico: Here's what's in the $2T stimulus package — and what's next
CNN: Stimulus bill includes $100M arts funding despite past Trump attempts to cut it
CBS: Mnuchin says Senate stimulus package will keep economy running for 3 months
NYPost: Senate nears coronavirus stimulus vote as GOP rebellion fizzles
UST: $1,200 cash payments, help for businesses: Here's what's in the historic stimulus package for coronavirus
Forbes: All You Wanted To Know About Those Tax Stimulus Checks But Were Afraid To Ask
Guardian: US coronavirus stimulus: are you eligible and how much will you get?
Developing . . .