After months of fighting between Baltimore's mayor and the )) City Council over which services to cut because of a budget shortfall, the Finance Department reported yesterday that the city has a $1.9 million surplus.
That money will be stashed away and used for emergencies only, city officials said.
"This is not a lot of money for a budget of $800 million," said budget officer Edward Gallagher, referring to the city's $823 million general fund.
The surplus came in part from unexpectedly high revenues from income taxes.
Gallagher said the money needs to be saved for unplanned events, including damage from extreme weather. He said bond rating agencies look favorably on cities with a large reserve fund.
But council members who fought Mayor Kurt L. Schmoke in this year's budget battle had different ideas for the $1.9 million surplus. "Put it back into rec and parks and some of the cultural institutions," said 1st District Councilman John L. Cain of southeast Baltimore.
Pub Date: 7/31/97
