CINCINNATI — Mayor Aftab Pureval and City Manager Sheryl Long on Thursday unveiled a recommended budget for fiscal year 2027 that aims to close a nearly $30 million operating deficit while preserving core city services and expanding investments in public safety, infrastructure and neighborhood development.
The proposed all-funds budget totals more than $1.8 billion, including roughly $1.37 billion in operating expenditures and $434.8 million in capital improvements.
City leaders described the proposal as one of the most financially difficult budgets since the COVID-19 pandemic, particularly as federal American Rescue Plan funds that previously helped stabilize city finances are no longer available.
“In our time working together as mayor and city manager, it is our leanest year yet,” Long said. “But we were prepared for this moment.”
The administration said the budget is structurally balanced despite an initially projected General Fund shortfall. Pureval said the city achieved balance through revenue growth, operational efficiencies and departmental reductions without broad cuts to basic services.
WATCH: More than $20 million in cuts proposed for next Cincinnati budget
Major deficit solutions
The proposed budget closes the gap through approximately $20.2 million in spending reductions and $17.2 million in additional revenues. The largest reduction — about $8.5 million — comes from leaving vacant city positions unfilled.
Long cautioned that additional staffing cuts beyond the vacancy savings could begin affecting services delivered to residents.
Another significant savings measure comes from delaying the next Cincinnati Fire Department recruit class until fall 2027.
"The department's complement is very healthy, but longer-term, the change will result in less overtime usage within CFD, as unbudgeted overtime has been a persistent challenge," Long said. "Working to train our recruits requires additional work from CFD staff."
The administration expects to save another $1 million by reducing Cincinnati Fire Department overtime. Long said staffing levels are expected to stay at or above target levels for most of FY 2027.
The budget also includes several service reductions to recreation centers and city pools, including fewer recreation center hours, reduced programming, cuts to part-time maintenance staff and opening all city pools one week later than in FY2026. These changes are based on utilization data, Long said.
However, Rec at Night has been expanded to two locations.
The mayor's office, city council offices and Clerk of Council offices would all see their budgets reduced 5.1%.
Other reductions include training cuts in human resources, reductions in contractual services, elimination of some printing/reproduction services, shifting expenses into other restricted funds and reductions in mayoral and council office budgets.
Many departments also increased “position vacancy savings,” effectively cutting through attrition rather than layoffs.
City officials repeatedly emphasized during the rollout that the proposal avoids the large-scale layoffs and sweeping service cuts that many municipalities faced during earlier pandemic-era budget crises.
View the City Manager's full recommended budget here:
Public safety spending expanded
Despite the deficit, the administration is proposing several new public safety investments.
Pureval said the budget includes $1.6 million for the Cincinnati Police Department's Drones as First Responders (DFR) program, new equipment and $1.1 million for firefighter health screenings for the Cincinnati Fire Department.
The city also plans continued investments in emergency communications infrastructure and other technology initiatives designed to improve response times and operational coordination.
Public safety remains one of the city’s largest expenditures. The budget allows for 1,059 sworn police officers and 859 sworn firefighters citywide. The city operates four police districts, four fire districts and 26 fire stations.
In addition, the mayor proposed new capital dollars for physical public safety improvements at Fountain Square.
"We're partnering with residents and business owners to really take a look at Fountain Square and understand what can be changed about the physical layout with respect to where pedestrians are walking, with respect to lighting and other kinds of blind spot areas, and making it safer, making the physical location safer," Pureval said. "It's not just better for residents, it's also better for our public safety professionals, who the chief has required to be patrolled 24/7."
Infrastructure and “Cincy on Track” investments
City leaders also highlighted major infrastructure spending tied to the Cincinnati Southern Railway Trust and the city’s “Cincy on Track” initiative.
Pureval said the budget supports replacement planning for two fire stations, expanded street paving and rehabilitation projects and ongoing work at the Dunham Recreation Center renovation project.
The capital budget includes nearly $145 million in General Capital spending, plus additional infrastructure funding through enterprise and restricted funds.
Officials said the city is attempting to accelerate project delivery through new purchasing and project management staff positions and updated contracting procedures.
The administration said those changes are intended to move infrastructure dollars “out the door and into our neighborhoods as quickly and equitably as possible.”
Pension contributions increased
The proposed budget also increases the city’s pension contribution as officials continue implementing reforms approved earlier this year.
Pureval said the increase is designed to ensure city employees are protected as the city advances what he called a “landmark path forward” for the retirement system.
The budget notes that the city recently revised its stabilization fund policy and now aims to maintain reserves equal to 17% of general operating revenues. The reserve structure includes separate contingency, economic downturn and working capital accounts intended to shield the city from future fiscal shocks.
Entertainment, events and economic development funding
The mayor’s adjustments preserve funding for several high-profile civic and cultural events.
Pureval recommended $1 million for BLINK and $100,000 for Black Tech Week, arguing the events generate significant cultural and economic benefits for the city.
Additional funding would support the city’s Safe and Clean program, Boots on the Ground initiatives and other community-level programming.
The mayor also proposed a $1 million allocation for a new disparity study intended to examine inequities in city contracting and economic development programs.
View the mayor's recommended budget adjustments here:
Music venue subsidy scaled back
One of the most notable changes in the mayor’s recommendations involves the proposed Farmer Music Center project.
Pureval said he reduced the city manager's proposed contribution from $6.5 million to $2 million. In March, city council narrowly passed a resolution for an even higher $8 million investment.
Under the proposal, city funding would be contingent on guarantees regarding future tax revenue generation over the project’s first decade.
The administration also said it is exploring the acquisition of nearby developable land to protect the city’s long-term interests in future growth surrounding the project area.
City revenue structure
The General Fund operating budget totals approximately $593.3 million, representing nearly one-third of the overall budget.
The city’s income tax rate remains 1.8%, divided among operating expenses, permanent improvements and infrastructure maintenance.
Property taxes remain set at 13.6 mills per $1,000 of assessed value.
Major enterprise and restricted funds include:
- Metropolitan Sewer District: $262.3 million
- Water Works: $185.9 million
- Bond Retirement: $82.5 million
- Stormwater Management: $34.5 million
Public engagement ahead
The proposed budget now heads to the Cincinnati City Council for hearings and revisions before the new fiscal year begins July 1.
City officials said multiple public input sessions have already been held, with another public forum scheduled during council deliberations.
“As we face difficult choices, we can and will continue to advance our goals while steadying our long-term fiscal outlook,” Pureval said.
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