U.S. CONFERENCE OF MAYORS AWARDS CHICAGO

The President of the U.S. Conference of Mayors announced recently that the City of Minneapolis, with a solid history of strong financial management, exemplified by a triple-A bond rating from both of the nation's two major rating agencies, is the winner of the first annual Mayors' Financial Leadership Award. The new award program, co-sponsored by AMBAC Indemnity Corporation and the mayors' organization, recognizes leadership in the introduction of sound financial practices and in the strengthening of financial integrity within municipal governments.

The cities of Cedar Rapids and Chicago were also cited by the program judges for outstanding financial management.

Speaking at the opening of the Conference's 1987 Mid-Winter Meeting in Washington, President Joseph Riley, Mayor of Charleston, S.C., explained that as the top award winner, Minneapolis will receive $25,000 to underwrite a full-time, one-year graduate internship in its finance department, and that Cedar Rapids and Chicago will each receive $2,500 to be used to upgrade the skills of their city finance employees. Appearing with Mayor Riley for the announcement of the winners was Michael Satz, chief operating officer of the New York-based AMBAC.

In choosing Minneapolis, the program's judges recognized that the city had maintained a stable millage rate, a healthy capital improvement planning process, and a stable debt program; that Minneapolis is the only city in the country to have formally adopted a policy on the use of variable rate debt; and that Mayor Donald Fraser has introduced strong citizen involvement in the budgeting process.

Chicago received an award because of the leadership demonstrated by Mayor Harold Washington in attacking a $168 million general fund deficit, as well as deficits in other city accounts. Chicago's deficit reduction plan contained reductions in the work force, expenditure cuts and revenue increases; introduction of a management-by-objectives system throughout city government; introduction of public hearings to the budgeting process; and adoption of multi-year forecasting, fiscal policy analysis and strategic planning. •

Page 20 / Illinois Municipal Review / March 1987