AgdaPkt 2006-03-27 - Laserfiche WebLink

Browse Search

9A Page 26 SURVEY SHOWS MOUNTING CllY CONCERNS OVER CDBG, HEALTH CARE COSTS, TRAFFIC AND AFFORDABLE HOUSING Thirty-five percent of municipal officials re- ported that the availability of quality affordable housing has worsened since last year. "This survey was conducted before we knew the extent of the cuts proposed for fiscal year 2007 by the Administration. Cutting funding an additional 25 percent will only exacerbate the affordable hous- ing challenge facing our cities and towns,ft Peterson said. The National League of Cities issued the following press release on March 13, concern- ing the importance of CDBG to America's cities: America's municipal officials are feeling in- creasingly optimistic about their city's fiscal health, but are concerned about mounting health care costs, increasing traffic, and a shortage of afford- able housing. Released by the National League of Cities (NLC) at its Congressional City Conference, the annual State of America's Cities Survey also found that nearly 80 percent of cities were either directly or indirectly affected by hurricanes Katrina and Rita, while 41 percent report an increasing need for survival services for their residents. "We are seeing greater optimism from our city leaders," said NLC First Vice President Bart Peterson, mayor of Indianapolis, Ind. "But we are seeing continued and mounting concern over actions being considered at the state and federal levels that would seriously threaten their financial stability. " Peterson noted that efforts to limit cities' abìlities to levy telecommunication franchise fees, proposed cuts to the Community Development Block Grant (CDGB) program, and greater needs for food, shelter, heating, clothing and health care would pose significant problems for cities in the coming year. Four in 10 cities that receive Community Development Block Grant (CDBG) funds reported that ongoing funding cuts are affecting their ability to provide affordable housing. Peterson said the survey showed that these cuts are affecting the rehabilitation of homes and buildings, construction and improvement of public facilities, and their ability to provide assistance to businesses to carry out economic development as well as job creation and retention activities. Significant Challenges Facing Cities and Towns . Although 43 percent of municipal officials reported improved fiscal conditions, 19 percent (almost one in five) indicate that they have experi- enced worsening fiscal conditions since last year. Nearly one in three city officials indicated that unless city tax rates and fees are increased, city service levels will decline. . Traffic congestion tops the list (34%) when city officials are asked about which conditions deteriorated most in their communities during the past five years. Traffic congestion has been the most widely reported response to this question since this condition was first included in the survey in 2001. Fifty-one percent of city officials believe that traffic congestion has worsened since last year. . City officials indicated that unfunded mandates and preemption of local authority are having a negative impact on the economic and fiscal health of their city. Fifty-five percent of city officials say that impacts of unfunded mandates and preemption of local authority have worsened since last year. Seven in 10 (71 percent) city offICials say that federal legislation limiting the use of franchise fees would affect their city's budget. . Overall, city officials are about split on their feelings about the general direction in which the country is heading. Forty-six percent of city officials report feeling pessimistic about the general direction of the country and 52 percent report feeling optimistic. Continued on Page 6 PAGE 4 . PRIORITY FOCUS March 17, 2006 . Issue #11 VISit the League's Official Website-www.cacities.org