Class 500 covers a range of City payments, including funding for schools and nonprofits, indemnities for lawsuits and accidents, and certain tax obligations. Since FY14, these expenses have more than doubled, largely due to increased contributions to the School District of Philadelphia and the Community College of Philadelphia. While indemnity costs also rose sharply—especially for…

Although a small share of the budget, Class 300/400 spending more than doubled between FY14 and FY24, largely driven by vehicle purchases. The Streets and Fleet Services departments accounted for over 60% of this growth, with additional increases in equipment, uniforms, and digital library materials. Spending patterns reflect post-COVID service expansion and rising costs for…

Spending on contracted services grew 73% between FY14 and FY24, outpacing overall General Fund growth. Most of the increase came from professional service contracts in departments like Human Services, Public Property, and the Managing Director’s Office, reflecting policy priorities like PHLpreK, SEPTA subsidies, and public safety grants. These contracts offer flexibility to deliver services that…

The Class 100 Fact Sheet outlines how the City of Philadelphia categorizes and tracks expenditures related to personal services, including wages, salaries, overtime, and benefits for all municipal employees. As the largest budget classification, Class 100 accounted for $3.7 billion, or 60.7% of General Fund spending in FY24, down from 68% in FY14, largely due…

The Philadelphia Government Costs: Additional Reductions Required report assesses the City’s spending trends, noting that while budget surpluses have been achieved, the overall cost of government has not significantly decreased. It emphasizes the need for structural expenditure reductions in core services, social services, and fixed costs to align with the City’s declining economic base.

The Health and Medical Benefits: Burning a Hole in the Budget report examines the rapid growth of Philadelphia’s health benefits costs, which have outpaced other expenditures despite a declining workforce. It provides recommendations for controlling these costs, including better vendor management, wellness programs, and potential plan design changes.

The Pennsylvania Convention Center Expansion Project report evaluates the financial implications of expanding the Pennsylvania Convention Center, including the shift of fiscal responsibility from the City to the Commonwealth. It discusses the projected costs, anticipated economic benefits, and key challenges related to labor costs and facility management.

The Philadelphia Must Reduce Its Need for Tax Revenues report examines the City’s continued reliance on tax-supported spending despite economic growth and budget surpluses. It argues that Philadelphia must reduce expenditures funded by tax revenues to sustain long-term financial stability and create capacity for future tax reductions.

The Revenue Stress in the City of Philadelphia report assesses the pressures on Philadelphia’s revenue base and the structural challenges limiting its financial flexibility. It examines economic trends, demographic shifts, and the reliance on volatile tax sources, emphasizing the need for strategic fiscal planning to mitigate future risks.

The From Virtual Realty to Full Value Realty: Preparing for Reassessment report evaluates Philadelphia’s transition to full-value property assessments and the fiscal and policy implications of the change. It discusses the potential impact on property tax revenue, municipal debt limits, and taxpayer burdens, while recommending strategies to ensure a fair and transparent reassessment process.

The State of Funding of the Philadelphia Department of Human Services report examines the financial challenges facing Philadelphia’s Department of Human Services (DHS), with a focus on state funding processes. It highlights issues with Pennsylvania’s needs-based budget system, identifying inefficiencies and inequities that result in unpredictable funding levels and increased financial burdens on the City.

The Philadelphia’s Fiscal Challenge: Finding a Way to Save report advocates for the establishment of a rainy day fund to prepare for economic downturns and fiscal uncertainties. It examines financial practices in other cities and argues for proactive measures to strengthen the City’s financial resilience.