Wednesday, April 1, 2015

Snow Removal Projected To Cost City $11.5 Million

The city bill for digging out from three massive winter storms is currently projected at $11.5 million, according to a city financial document that came out yesterday.

Snow Removal Projected To Cost City $11.5 Million

The city bill for digging out from three massive winter storms is currently projected at $11.5 million, according to a city financial document that came out yesterday.

Budget Director Stephen Agostini stressed that the number is not final, because the city is still finishing clean-up after the third storm, which hit last week. The city did not have any money in the current budget for snow. But Agostini noted that even in years when the city did set aside money for snow, it was a much smaller amount.

The massively expensive winter couldn’t come at a worse time for the city, already struggling with a grim budget situation. Snow clean-up costs have contributed to an increase in the expected budget deficit for the current financial year, which is now at $48.6 million. Another key reason for the jump in the deficit – which stood at $31 million in the fall – was lower than expected sales tax revenues.

“The snow clearly is not helping,” Agostini said. “And we lost another $8 million in sales tax. The economy and pretty tepid job growth has started to cut into consumer spending.”

Agostini said the deficit would be resolved in next year’s budget, which is expected to be released on March 4. The total budget deficit for the 2011 fiscal year, starting July 1, is between $125 and $150 million, Agostini said. That number includes this year's deficit.

About this blog
William Bender, a Drexel graduate who landed at the Daily News in 2007, has covered everything from South Philly mobsters to doomsday hucksters. He occasionally writes about local food trucks and always eats everything on his plate, whether it be a bloody rib eye or a corrupt politician. E-mail tips to benderw@phillynews.com
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David Gambacorta, has been a reporter with the Daily News since 2005, covering crime, police corruption and all of the other bizarre things that happen in Philadelphia. Now he’s covering the 2015 mayor’s race, because he enjoys a good circus just as much as the next guy. He’s always looking to get a cup of coffee. Send news tips and other musings on life to gambacd@phillynews.com
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