Trends in Smart Communities: 2020

Source: U.S Ignite Published: April 14, 2020

Globally, communities are facing unprecedented unemployment and struggling through stay-athome orders resulting from the COVID-19 pandemic. Organizations across government sectors are working to maintain or increase their service outputs in a virtual landscape, the nonprofit sector is struggling to respond to the increase of clients in need of support with decreases in charitable donations, and the private sector is working rapidly to compete in new ways for fewer consumers. In the US, the subsequent shifts in local economies will significantly affect the ability of city, county, and state agencies to generate an appropriate response. Widespread challenges are predicted with dramatic losses in tax revenue (income, sales, use, property), decreased municipal revenue (fees, permitting, and delayed tax filing), and increased demands for community-based services (medical care, unemployment support, workforce training). Results from a recent US Conference of Mayors survey of 2,400 cities suggest that 88% of cities expect a budget shortfall due to the impact of the COVID-19 pandemic on their economies. For cities with populations of 50,000 to 500,000, 98% expect a budget shortfall.