But city officials believe those actions will not be enough to compensate for the spiraling economy, and in particular, the weak housing market. Housing sales fell by 50 percent in the past year, and the city's transfer and recondition tax revenues have plummeted, according to data released by budget director Andrew W. Kleine at a hearing Wednesday.
Making the situation more dire is the expectation that the state could make steep cuts to local aid.
Last month, Gov. Martin O'Malley pushed $300 million in state budget cuts through the Board of Public Works, including steep reductions for health care, higher education and other programs. Those cuts included the elimination of hundreds of vacant positions and about 40 layoffs.
Even so, the state government faces a budget shortfall that could approach $1 billion next year, and anticipated revenue from the legalization of slot machines will not arrive in time to solve the problem. After two years of near-constant cutting at the state level, legislators are expected to closely eye the millions of dollars that flow from Annapolis to Baltimore and the counties when the General Assembly reconvenes in January.
The state won't finalize its budget for the next fiscal year until April, leaving local governments little time to react to cuts. Baltimore's budget process does not begin in earnest until March, and the spending plan for fiscal 2010 is not due to be finalized until June.
A reduction of 12 percent would take $55 million from Baltimore's Public Works Department which is responsible for garbage pickup, and $18 million from the city's Transportation Department, which has repaved hundreds of miles of roads in the past year.
City union officials were notified of the cuts yesterday evening but declined to speculate on potential furloughs or layoffs or possible service reductions.
Glenard S. Middleton Sr., a leader of the American Federation of State, County and Municipal Employees, said the city's management structure is "top heavy" and that he hopes the cuts are felt at the higher-paid supervisory levels. In some cases, he said, there are six levels of managers between the agency head and the worker.
The Police Department would see a reduction of about $15 million after cutting $6.8 million in October.
The city's police union chief, Robert Cherry, noted this year's 30 percent drop in homicides and said he worries that further cuts could jeopardize public safety.
The Fire Department would see a cut of about $7 million; its October reduction was $4 million. The city's fire union head, Bob Sledgeski, said his department is already "cut to the bone."
Other mayors around the country are making similar announcements. According to news reports, the mayors of Philadelphia, Seattle and Atlanta have announced tens of millions of dollars in spending cuts, in some cases involving layoffs.
