Canceled Infrastructure Projects, Furloughs and Economic Ripple Effects: NLC Survey Shares Latest Financial Impacts of COVID-19

Washington, D.C.— Today, the National League of Cities (NLC) leadership announced the publication of new survey data from over 1,100 municipalities across the country on the financial impact of COVID-19 on America’s cities, towns and villages. The survey, which focuses on local spending cuts, found that 74% of municipalities have already started making unavoidable cuts and adjustments in response to the projected $360 billion revenue loss for cities over the next 3 years. 

“The survey found that 65% of cities are being forced to delay or completely cancel capital expenditures and infrastructure projects, which will not only stifle job growth and slow local economic activity, but further jeopardize economic recovery efforts in communities across the nation,” said Clarence Anthony, CEO and Executive Director, National League of Cities. “Without congressional action now, the forced delay or cancellation of infrastructure projects will create an economic ripple effect throughout the nation not felt in decades.”

The anticipated cuts by municipalities throughout the nation will drastically impact not only the people who live and work in our communities, but also the infrastructure and essential services that are critical to the national economic recovery.

NLC launched the Cities Are Essential campaign over six weeks ago, calling on the federal government to ensure there is flexible, direct funding relief to America’s municipalities. View a one pager summary of the survey results here, a visual representation of the data here, and a blogpost here.