Building on Past
Success
Securing Baltimore’s Future is the City’s second 10-Year Financial Plan. Our first plan, Change to Grow (2013–2022), helped balance the budget, lower tax rates, strengthen reserves, and reduce long-term liabilities.
Why We Need a
New Plan
Even with those gains, Baltimore did not reverse its decades-long population loss. The COVID-19 pandemic also created a sharp drop in revenues and a turbulent period for the City’s budget from Fiscal 2020 to 2025.
The Challenges
Ahead
Today, Baltimore faces lingering COVID revenue impacts and has increased funding to support schools. Local school funding grew nearly 50% since 2022.
A Vision for the Decade Ahead
Discover how this financial plan addresses our city's most pressing challenges while paving the way for sustainable growth and improved services for all residents.
The financial choices that the City makes in the next decade
will determine the path — and the story — of our City for
generations. This 10-Year Financial Plan is our roadmap to a
stronger, more resilient Baltimore.
These investments are not about spending more — they're
about doing more with what we have. By embracing new
solutions, streamlining operations, and leveraging data to
make better decisions, we're working to stretch every dollar
further while improving your day-to-day experience with city
government.
The Challenge
The City budget is balanced in Fiscal 2026, but annual revenues are projected to fall short of annual expenses starting in Fiscal 2027 and continuing forward.
This projection assumes the continuation of current programs and reflects mainstream forecasts for economic factors such as inflation, revenue growth, and population changes. It also reflects economic uncertainty at the federal and State levels, as well as lingering economic impacts from COVID-19, rising investments in schools, higher inflation, and expiration of federal aid.
10-Year Forecast
Annual vs. Cumulative Deficit (FY26–FY35)
Our Response
Securing Baltimore's Future is a set of actions and investments that, if implemented over the next decade, will address this fiscal uncertainty and ensure the City achieves a sustainably balanced budget while fostering long-term population growth and community vitality. The 10-Year Financial Plan requires focusing not only on cost control, but also on improving quality of life and strengthening the City's competitiveness.
The Plan is organized around three Cornerstones that represent critical areas where progress is essential for the City to thrive and grow:
Core Service Delivery
Modernize operations, improve customer service, and eliminate waste to provide better experiences at lower costs.
Infrastructure Investment
Address aging infrastructure while positioning the City for future development and economic growth.
Tax Competitiveness
Reduce property tax burden while broadening and diversifying the City's tax base.
Measures of Success
The success of the 10-Year Financial Plan will be evaluated against a balanced set of fiscal and operational outcomes. These measures are designed to provide accountability to residents, ensure the City's financial stability, and demonstrate progress toward long-term priorities.
To balance the financial sustainability goals with the broader City-wide operational goals, we designed two sets of measures:
Overall Fiscal Health
Indicators that monitor the City's financial foundation, measuring reserve levels, debt ratios, and unfunded liabilities, which are closely aligned with the benchmarks used by municipal bond rating agencies. They also continue the emphasis of the original 10-Year Financial Plan, Change to Grow, on reducing long-term liabilities and strengthening reserves.
Cornerstone-Specific Outcomes
Indicators that track progress within each of the Plan's three Cornerstones, measuring how investments in service delivery, infrastructure, and tax competitiveness translate into tangible improvements for residents and businesses.
Initiatives
To put these Cornerstones into action, the 10-Year Financial Plan consists of initiatives that are strategically aligned to advance one or more of the three Cornerstones. While the initiatives vary in size and scope, they collectively represent a comprehensive blueprint for strengthening the City's financial position and community appeal.
Core Service Delivery
Residents and visitors should expect high-quality services delivered in a timely and efficient manner. The Plan calls on the City to modernize operations, improve customer service, and eliminate waste, to provide a better overall experience at a lower cost to taxpayers. This means cleaner streets, faster response times, easier access to services, and greater confidence in City government.
- Improve compensation to retain and recruit a strong workforce
- Optimize service delivery through a more efficient workforce
Initiative Categories
Measures of Success
Vacancy Rate
Positions per 1,000 Residents
Infrastructure Investment
Baltimore's neighborhoods, economy, and quality of life depend on well-maintained infrastructure. The Plan prioritizes investments in roads, buildings, parks, and public facilities—ensuring the City remains attractive to residents and businesses while addressing years of deferred maintenance.
Initiative Categories
Measures of Success
General Fund-Supported Capital Investment
Tax Competitiveness
Baltimore's high property tax rate is a barrier to growth. The Plan reduces the tax burden on homeowners, diversifies revenue sources, and improves tax fairness—making Baltimore more competitive with neighboring jurisdictions while ensuring the City can deliver essential services.
Initiative Categories
Measures of Success
Reliance on Property Tax
Property Tax Rate Reduction
Measures of Success
The success of the 10-Year Financial Plan will be evaluated against a balanced set of fiscal and operational outcomes. These measures are designed to provide accountability to residents, ensure the City's financial stability, and demonstrate progress toward long-term priorities.
Overall Fiscal Health
Rainy Day Fund
The City's first 10-Year Financial Plan, Change to Grow, accelerated annual contributions to the Rainy Day Fund with the intent of reaching 8%, which equates to roughly one month of operating expenditures. The Fund's balance has grown steadily over the past decade except for the withdrawal in Fiscal 2020 during COVID-19. The City plans to continue its practice of making regular annual budgeted contributions to the Rainy Day Fund beginning with a $3.4 million contribution in Fiscal 2026. These annual contributions, combined with interest earnings accrued in the Fund, will set the City on a path to reach the 8% target by Fiscal 2031.
Debt Service to General Fund Revenues Ratio
Securing Baltimore's Future includes a measured increase in the City's annual General Obligation debt issuance to strengthen capital investment in infrastructure, facilities, and neighborhoods. While this initiative will raise annual debt service costs, it is designed to occur alongside efforts to broaden the City's tax base and grow recurring General Fund revenues. As a result, the City's Debt Service to General Fund Ratio is projected to increase, while remaining under the 8% affordability target established by policy — ensuring sustainable borrowing that supports long-term fiscal health and capital needs.
Funded Ratio for Pension / Healthcare Liabilities
The City is committed to improving the long-term sustainability of its pension and OPEB (retiree healthcare) obligations. By adhering to actuarially determined contribution schedules and optimizing investment strategies, the City aims to steadily increase the funded ratio of its plans. The goal is to reach a 85% funded ratio by Fiscal 2035, ensuring that these promises to employees are secure while reducing the burden on future operating budgets.
Building a Sustainable Future
Through strategic planning, fiscal discipline, and community investment, Baltimore is charting a course toward long-term financial stability and prosperity.
Download the Full Report
Get the complete 10-Year Financial Plan with detailed analysis, comprehensive data, and strategic initiatives for Baltimore's future.
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