Statement on Mayor’s Veto Communication to FY2027 Budget

June 24, 2026

"The mayor’s attempt to restore funding that is not currently budgeted raises serious legal questions. Historically, the line-item veto allows for the reduction or elimination of funding, not the creation or expansion of it. The mayor says this veto puts money back into the Office of Economic Revitalization. Nothing in the City’s Charter appears to allow for that. The mayor has also stated that if these cuts were to stand, he would ultimately find the money for OER internally, an effort that would have to be outside the budget process. The Charter does not grant the mayor authority to fund programs in this way; in fact, it explicitly prohibits circumventing the process for a purpose such as this.

The cuts to OER stemmed from long-standing concerns about the agency and are backed by a scathing city audit. Recent and troubling reports of fraud within the office only further support our calls for its reorganization. These new revelations may be the work of a single bad actor, but they cast further doubt on whether the necessary measures for success and accountability currently exist within the agency. This is about making sure public money goes to the services people need and can trust.

Additionally, based on my initial review of the mayor’s veto, I am not confident that the version submitted is balanced. The funds restored appear to exceed what was reduced. While much of the city’s budget is tied up in contingency funds, I’m not certain that enough unappropriated dollars remain to cover the difference, but we will continue to review the measure ahead of our consideration of an override.
The Council was prepared to review and act on the veto on June 24, before the new fiscal year began. The mayor's delay in sending over the formal veto, along with Charter and statutory requirements, took that date away. The hearing will now be scheduled for July 8." - Council Chair Tommy Waters.