KANSAS CITY BUDGET 'STRUCTURAL IMBALANCE' WORSENS!!!

Here's something to consider as we start the work week . . .

In the simplest of terms . . .

TKC EXCLUSIVE DOX REVEAL THE 'STRUCTURAL IMBALANCE' OF KANSAS CITY'S BUDGET WIDENS!!! TRANSLATION: THIS COWTOWN IS GOING BROKE FAST!!!

In the aftermath of the pandemic every American town is confronting harsh times but here's is why KCMO's situation might get worse . . .

- Crime: High crime chases away investment and revenue from residents. Sure, luring biz both big & small is great but a city needs residents who contribute by working and powering the local economy. The historic rise in crime thwarts any progress in generating sustainable investment from residents because the most productive members of our town have incentive to move someplace safer.

- Spending Spree Persists: City Hall rarely meets a developer they don't like and this town is notorious for handing out freebies. Credit to KC Tenants . . . They've shut down more than their share of incentive chatter but only when their demands aren't first on the list. 

- Entitlements: Under Mayor Q's leadership KCMO started giving away freebie bus rides AND freebie housing. The reality is that Kansas City doesn't have the cash to fund it's own welfare state and commitments made with Federal COVID dollars are now being paid out of the general fund. 

And all of THAT leads us to this . . . 

We've highlighted it . . . And now . . . Check the last line of this insider memo that reveals KCMO decision makers now confronted with a worsening budget crisis that was once only a worry confined to conversation amongst policy wonks. 

Here's the word . . .

A reminder to submit today any requests for your department to rollfoward unencumbered appropriations for consideration via email.  Requests should be in the format following the below example with an explanation of why the unencumbered funds are requested to rollforward from the current FY 2023 to FY 2024.

Fund-DeptID- Appropriation Unit-Project ID (if applicable) - Dollar amount requested for consideration to roll forward and justification why

Example: 1000-121465-B -

$200,000                                                                    
This is the Linwood Line of Credit that the City is required to remain open through specific date (input date)

It is important to note that requests to rollforward General Fund appropriations not encumbered will be limited given the forward-looking structural imbalance of the General Fund.  Call or email with any questions.

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Developing . . .