Loss of federal funds plagues city mayors across the country, per new report

Philadelphia Mayor Cherelle Parker speaks at a press conference about the tentative deal the city struck with DC 33, ending its eight-day strike.
Philadelphia Mayor Cherelle Parker speaks at a press conference about the tentative deal the city struck with DC 33, ending its eight-day strike. Photo credit Quinton Davis/City of Philadelphia

PHILADELPHIA (KYW Newsradio) — Mayors across the country are trying to figure out how to cope with the loss of federal funds, according to a report released Thursday by the National League of Cities.

Cities have had a little breathing room for the last few years, as funds from President Joe Biden’s Bipartisan Infrastructure Law and American Rescue Plan Act allowed many mayors to tackle long-standing issues, but National League of Cities Research Manager Ivonne Montes Diaz said now they are scrambling.

“Our mayors know they are facing a fiscal cliff — a phrase you may have heard. They are working to figure out how to address that cliff and continue providing the services they need to,” she said.

Diaz also said mayors are especially concerned about infrastructure projects they started, which have been hurt by both the unexpected loss of funding and inflation.

“Costs of labor and materials are going up as they manage and maintain projects they’ve worked so hard on,” she said.

Still, some mayors are pursuing priorities like housing, economic development, public health, and safety, especially where they intersect. For example, the study finds cities, including Philadelphia, pursuing co-responder models to crises to replace police-only responses.

Diaz said some cities, like Philadelphia, are also setting aside contingency funds, and many are seeking more assistance from states and private entities.

Featured Image Photo Credit: Quinton Davis/City of Philadelphia