Gary to consider ’22 budget Monday
Gary’s 2022 budget will be considered Monday in a special meeting as lingering questions and amendments are pushing approval to the state’s filing deadline.
Officials have until Nov. 1 to approve the 2022 budget and get it uploaded to the state’s Gateway system. The Gary Common Council, at its Oct. 19 meeting, moved to postpone consideration of the various budget ordinances until a special meeting Monday.
Council members met in committee three times over the past week to discuss different aspects of the budget, including a potential amendment that would raise police and fire salaries by 12% outside of the existing contracts. The city currently is negotiating contracts with both the police and fire unions. Council members also are looking to eliminate the deputy mayor position, switching it back to chief of staff.
The council recently sued the administration over Mayor Jerome Prince’s appointment of Trent McCain to the deputy mayor position in a move that defunded the chief of staff position and moved the salary to the deputy mayor position. The deputy mayor position has been on the books but was not used during the administration of former Mayor Karen Freeman-Wilson.
McCain said Oct. 19 the administration is hopeful the council will reconsider the pay increase for first responders outside of the contract negotiations.
“It would hinder our ability to negotiate a contract,” McCain said. “Salary is always a primary one of the negotiables.”
He said first responders are currently in line to receive $5,000 after taxes in premium pay each year for the next four years through the American Rescue Plan Act funding for working during the pandemic. Police and fire also were included in the across-the-board 3% pay increase proposed for all city employees.
“We would just implore the council to allow us to negotiate in good faith with the unions,” McCain said. At least one councilman in committee, Clorius Lay, D-At large, questioned whether such substantial raises would be sustainable after the ARPA funding is gone.
McCain said the city could be in a different financial position in a few years. Revenue sources should stabilize and some economic development projects in the works may begin to bear fruit.
“Give us an opportunity to put our financial house in order,” McCain said.
McCain said the administration proposed what it thinks is a very responsible budget that includes increases in two areas that have long been underfunded: parks and animal control. The budget also adds code enforcement officers so there will be one for each of the city’s six districts.
Council President William Godwin, D-1st, said after the council approves the budget, Prince will have 10 days to either accept or veto it as changed by the council. Prince vetoed the 2021 budget as changed by the council. The council then has 30 days to override or affirm the veto.
The council affirmed Prince’s veto of the 2021 budget, which caused it, by state statute, to revert to the 2020 budget. If a 2022 budget is not approved, the budget will again revert to last year’s amount.
The administration said the move would cost the city about $4 million in new revenues.
Officials also moved approval of the ARPA spending plan to Monday’s special meeting. The plan is tied to the 2022 budget since it pays for about half of the city’s public safety.