Summary
PICA’s Charting a Course for Fiscal and Climate Sustainability report assesses the intersection of financial stability and climate resilience in Philadelphia, emphasizing the growing fiscal risks associated with climate change. The report identifies an estimated $3.3 billion in infrastructure investments needed by 2040 to mitigate climate-related risks, including storm drainage upgrades and flood prevention measures. It explores various financial mechanisms municipalities can use to fund climate initiatives, such as climate budgeting, dedicated tax revenue streams, and issuing sustainability bonds. The report also reviews the City’s existing efforts, such as investments in renewable energy, flood mitigation programs, and resilience planning, while providing comparisons to best practices in other cities. Recommendations include integrating a climate-focused budget scoring system, maintaining a reserve fund for climate emergencies, and exploring new revenue sources while minimizing the tax burden on vulnerable populations. By adopting these strategies, Philadelphia can enhance its climate preparedness while ensuring long-term fiscal stability.