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Findlay proposes a deficit budget but says city is not currently deficit spending; reserves have increased since 2019
Summary
Mayor Christina Mearn said the administration proposed a deficit budget for 2025 as a planning measure but that departments are managing funds and the city is not currently deficit spending. She said carryforward balances rose from $13 million in 2019 to about $26 million and that reserves and rainy‑day funds have been strengthened.
Mayor Christina Mearn told a Feb. State of the City event that the administration has put forward a deficit budget for 2025 as a planning device but that, to date, the city is not engaging in deficit spending and remains in a strengthened cash position.
Mearn explained that the proposed deficit budget reflects how municipal appropriations and restricted line items work in practice and that departments manage budgets monthly to avoid actual shortfalls. “We are proposing it, and we're saying, yes. We recognize that we have to manage it, but we aren't deficit spending at this point in time and we're gonna track it,” she said.
Key fiscal figures the mayor cited: - Carryforward (unappropriated) balance: about $13,000,000 in 2019; about $26,000,000 in the current year. - Rainy day fund: $2,000,000, increased by $500,000 in the last four years. - Minimum reserve target raised from three months of spending to 25% of the total operating budget. - Additional capital improvements of roughly $5,000,000 above the 20% income‑tax capital allocation.
Mearn said the administration has asked departments to manage budgets closely and to return unspent funds where appropriate; she said the approach has doubled carryforward balances since 2019. She warned that continued deficit spending would be unsustainable and pointed to the Findlay City Schools as an example of the consequences of persistent deficits.
Why it matters: The budget approach affects staffing, capital projects and the city’s ability to respond to emergencies. The mayor framed the proposed deficit as a short‑term management tool that requires careful oversight.
Provenance: Transcript excerpts include the mayor’s explanation of the budget framework, the carryforward figures and the changed reserve policies.
Ending: The mayor said 2025 will emphasize monitoring and monthly budget oversight; if problems arise, departments will be asked to recalibrate.
