Mayor Dave Cieslewicz introduced the 2010 executive operating budget Tuesday, calling for a tax increase and spending cuts in certain areas.
The budget includes a tax increase of 3.85 percent on the average Madison home, up from a 3.22 percent increase in 2009. However, this is still below the 15-year average for increases in taxes, which is 4.32 percent, according to a statement from the mayor’s office.
According to the statement, this is higher than the mayor would like, but it was the better choice when faced with the alternative of cutting basic service or damaging the city’s long-term fiscal stability.
“I think the key word for this budget is ‘steady,'” Cieslewicz said. “You’ll see many small cuts, but no dramatic slashes in services.”
According to the statement, overall spending increased less than 0.5 percent, which is the lowest increase for spending in 15 years.
The mayor explained some of the ways in which the city is looking to cut back on spending, including a hiring freeze that began in May and will continue for the next 12 months, are saving an estimated $1.5 million already.
In addition to the freeze, the budget is dependent on all the city unions accepting no pay increase for the next two years, with a 3 percent increase at the end of the contract period.
“The message that I’ve given our employees is that we are going to get through this together, so I’ve asked them to pick up some of the load,” Cieslewicz said.
Joe Conway, president of Firefighters Local 311 — the first city union to accept the deal — said his union wants to ensure everyone both in and out of the union has a job, and also wants to maintain the increase in fire service the city has seen.
“We are looking out for the other people in the community that work with us, and we didn’t want to look at another tax burden for our residents here,” Conway said.
He added he did not want the city to “dig themselves a bigger hole” to find a way to give raises to the employees.
The cooperation with city employees will help to avoid pay cuts, layoffs and mandatory furloughs, according to the statement.
The mayor pointed out the city is offering voluntary furloughs, which is not typical for the city. He added the city will allow people to take extra time off if they want, but this will not interrupt important services.
The budget does include some cuts and changes in services, such as taking brush removal off a regular schedule and switching large item garbage pickup to every other week.
“I think those are cuts people can accept and will understand,” Cieslewicz said.
In addition to the cuts, the budget also contains an increase in funding for adding another paramedic ambulance and staff, a total of $950,000, according to Cieslewicz.
The operating budget goes before the Board of Estimates early next week.