Honolulu Mayor Rick Blangiardi is proposing the city set aside millions of dollars to brace for potential federal funding cuts, though he says it’s too early to know exactly how the city will be affected by policies emanating from Washington.
The mayor’s proposed budget for the next fiscal year includes $3.93 billion for normal operating costs like salaries and retirement benefits and $1.21 billion for capital improvement projects, including road fixes and wastewater treatment plant upgrades.
The budget earmarks up to $20 million to shore up projects if federal grants fall through. Andy Kawano, the city’s director of the Department of Budget and Fiscal Services, said the city also adds money each year to its fiscal stability fund, which holds a little less than $200 million and can be tapped to make up for other shortfalls.
President Donald Trump’s second term has so far been marked by big slashes in federal funding. The city is expecting about $313 million in federal funding this year and — similar to the state as a whole — is facing uncertainty about how future cuts could impact its budget moving forward…