New City Budget Cuts People, Extols New Development

Kilpatrick's budget for the 2003-2004 includes the closure of six city recreation centers, layoffs of 193 workers and the elimination of funding for about 700 more city positions. "Detroit's economy has always been at the mercy of national and international economic trends," Kilpatrick said when he publicly unveiled his budget proposals April 14. The City Council still must approve the budget.

Due to Detroit's problems with vacancies, only 12% of the city property tax revenue fuels the budget. More than 50% of the city budget is funded by city income tax and state shared revenue this year.

However, good things are happening in Detroit, Kilpatrick said."Right now, more than 4,000 new housing units--units designed for all income levels--either are under construction or in the pipeline waiting to start construction," Kilpatrick said. "For a city that went through a long period when it seemed no new housing was being built, this is a major accomplishment." He added that some new projects are included in the budget, including $1 million to establish the new Belle Isle Nature Zoo.

The special election includes two development proposals. Proposal N will authorize $25 million as part of the city's commitment to a recent plan for revitalization of the east Detroit River frontage area. Proposal M will authorize $55 million for improvements to Cobo Hall, the city's conference center.

The other two proposals on the ballot authorize $6 million for work at the Museum of African-American History and $45 million for public safety improvements, including a new public safety mall in southwest Detroit and a new police precinct and fire facilities.

"The weakened national economy and a 50-year outflow of jobs and people have produced very serious challenges for us. But they are challenges we can meet," Kilpatrick said.