PITTSBURGH — It’s been a couple of very difficult years that led to a tax increase late last year.
Chief Investigator Rick Earle questioned the city controller about the budget.
City Controller Rachael Heisler said the city is in a better financial footing now, but it’s still not great.
She doesn’t seem as concerned as she did this time last year because she is seeing some improvements, and she praised the new administration for addressing the problems head-on.
“We’re in a very delicate position. There’s not a lot of room for error,” Heisler said.
While still expressing concern about the city’s precarious financial situation, City Controller Rachael Heisler acknowledged some improvements, saying the forecast isn’t as bad as it was a year ago.
One of the big reasons, she says, is new Mayor Corey O’Connor securing $70 million in donations from private companies, foundations and nonprofits earmarked to buy emergency vehicles, snow plows and improve infrastructure.
“These figures are a huge, huge win for the city. The voluntary payments that Mayor O’Connor negotiated reflect an acknowledgment of the city’s financial situation and a renewed interest in partnership and cooperation with our large institutions across the city,” Heisler said.
It’s a much different approach from the previous administration that was often at odds with the big nonprofits and took them to court in an unsuccessful bid to force them to pay.
The controller says there are other positive signs as well when it comes to revenue: the real estate, earned income and deed transfer tax are all up.
Heisler also praised the administration for reining in overtime. By the end of June, the city spent 55% of its overtime budget for the year compared to 76% at the same time last year.
Heisler admits it’s a delicate balance, especially when it comes to public safety.
“It’s a thing that we’re going to continue to monitor because again, there’s a financial impact, but there’s also a people impact, and we need to make sure that we are adequately staffed in the bureaus where there is a high utilization of overtime,” Heisler said.
She cautions that any downturn in the economy could throw a wrench into the budget plans and says the city needs to do three critical things: control spending, maximize revenue and prioritize growth.
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