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Miami-Dade Faces $400 Million Deficit: Budget Cuts and Fare Hikes on the Horizon

Wednesday, July 16, 2025 by Christopher Ramirez

Miami-Dade County finds itself in the midst of a severe financial crisis, forcing Mayor Daniella Levine Cava to propose a stringent budget for the 2025-2026 fiscal year aimed at addressing an estimated $402 million deficit. This marks the most significant budget shortfall since the 2008 recession, with its impact already being felt across various public services.

Understanding the Deficit

During a press conference, the mayor described the fiscal gap as a "perfect storm of challenges," citing several contributing factors:

- The establishment of five independent constitutional offices, mandated by a 2018 state amendment, accounts for nearly half of the deficit. These include the Sheriff's Office, the Tax Collector, the Supervisor of Elections, the Comptroller, and the State Attorney's Office. "Expanding our budget to support six separate county governments instead of one is costly for taxpayers," Levine Cava noted.

- A decrease in state and federal revenue, reducing the budget by $78 million for 2026.

- The elimination of state taxes, such as those on commercial leases, and adjustments in public service rates, adding an additional $65 million burden.

- Previous local decisions, like tax cuts in 2023 and 2024, the use of federal funds to prevent waste fee increases, and $46 million in subsidies for the 2026 World Cup (of which $36 million must be paid in this fiscal cycle).

Proposed Measures to Balance the Budget

To close the budget gap without raising property tax rates, the mayor suggests a series of austerity and restructuring measures:

Layoffs and Salary Freezes

- Elimination of 360 jobs, including 142 currently filled positions.

- Freeze on county employee salary increases.

- Reduction in executive salaries.

Department Consolidations

- Merging Information Technology with Communications; Cultural Affairs with Libraries; Community Action and Human Services with Youth Services.

- Overall departmental budget cuts ranging from 10% to 35%.

Public Transportation: Higher Fares, No Service Cuts

- A fare increase of 50 cents on public transportation (Metrobus and Metrorail), from $2.25 to $2.75 starting October 1.

- Discontinuation of the free MetroConnect transportation program. No proposed cuts to Metromover, Metrorail, or Metrobus routes.

Parks and Recreation Reductions

- 25% reduction in grass mowing frequency in parks and roadways, saving $3.5 million.

- Elimination of tree planting funds, saving an estimated $1.6 million.

- Closing lifeguard services at some parks, implementing a "Swim at Your Own Risk" policy, saving $770,000.

- Removal of security guards at: Arcola Lakes Senior Center; North Pointe Community Center; and Oak Grove Park.

- $5 parking fee in parks like AD Barnes and Tropical, expected to generate $3.6 million annually.

Closing Senior and Community Meal Centers

- Shutdown of two senior care centers: Little River and South Dade.

- Closure of three community meal centers: Florida City, Leonard Batz, and Perrine. According to the mayor's office, these closures affect few individuals and will result in combined savings of over $700,000.

Elimination or Reduction of Social Offices

- Elimination of the Office of New Americans, which provided integration services for immigrants and permanent visa holders.

- Closure of the Neighborhood Safety Office, which worked on revitalizing public spaces and preventing gun violence.

Community and Business Program Cuts

- A reduction of $1.17 million in grants for family-sector small businesses.

- Disbanding a 10-person team from the Street Crime Treatment Alternatives program, saving $1.5 million.

Property Taxes: A Controversial Topic

Levine Cava has proposed maintaining a fixed tax rate without increases. However, some Republican commissioners suggest further rate reductions, which, if approved, could worsen the budget gap. The current proposal already represents modest growth in the county's total spending of just 1.3%, with a total workforce that would reach 31,900 employees, including those in the new offices.

Political Reactions and Upcoming Vote

The budget has sparked mixed reactions among commissioners:

- Juan Carlos Bermúdez advocates for prioritizing essential services: "Security, health, and the environment must be protected."

- Roberto González branded the mayor as a "liberal spender" and called for a complete budget overhaul: "line by line."

The proposed $12.9 billion budget will undergo negotiations and public hearings. Commissioners will debate property tax rate limits this week, with a final vote scheduled for September, ahead of the new fiscal year beginning October 1. Despite the harsh measures, Levine Cava warned that further cuts might be necessary if consensus cannot be reached to approve the budget.

As the mayor cautioned, "We don't know where else to cut. We would have to slash bus routes. We would have to eliminate parks altogether. It's quite a dire situation."

The fiscal crisis in Miami-Dade highlights the tension between public services and budget sustainability, as cuts are already affecting areas vital to residents' daily lives. As Levine Cava warned, "it's a perfect storm."

Understanding Miami-Dade's Financial Challenges

What is causing the $400 million deficit in Miami-Dade?

The deficit is attributed to several factors, including the creation of five independent constitutional offices, reduced state and federal revenues, and previous local fiscal decisions.

What measures are proposed to balance the budget?

Proposed measures include layoffs, salary freezes, departmental consolidations, fare increases for public transportation, and cuts to parks and community services.

Will property taxes increase in Miami-Dade?

Mayor Levine Cava has proposed maintaining a fixed property tax rate, but some commissioners are advocating for further reductions, which could exacerbate the budget gap.

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