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In 2022, the City of Milwaukee faced a dire financial crisis, with an annual deficit projected to reach $200 million and the threat of bankruptcy looming. This situation was exacerbated by declining state-shared revenue, state-mandated limits on local tax levies, and rising pension obligations. The city was at risk of significant layoffs in essential , including police and fire departments, which could lead to increased crime and a deterioration of public . To address this crisis, the Greater Milwaukee Committee (GMC) collaborated with city officials and engaged EY-Parthenon to assess the financial situation and explore potential solutions. The EY-Parthenon team conducted a comprehensive analysis of Milwaukee's financial landscape, revealing that the budget deficit could not be resolved solely through efficiency improvements or cost-cutting measures. The city had already implemented various cost-saving initiatives and lacked the authority to raise certain tax revenues without state approval. The analysis highlighted the need for state assistance, which ultimately led to the Wisconsin Assembly authorizing additional fiscal measures that could generate an estimated $180 million annually to help close the budget gap. To further address the remaining deficit of approximately $50 million, the EY-Parthenon team employed a diagnostic approach to evaluate the city's highest-cost . They identified 41 potential streamlining measures that could yield an estimated $140 million in savings over ten years, with $88 million classified as quick wins that could be implemented within six months. Recommendations included sharing with Milwaukee County, outsourcing certain functions, and leveraging technology to enhance service delivery. In addition to service improvements, the project uncovered financial planning strategies that could generate over $450 million in new savings and revenues over the next decade. These strategies included monetizing city assets, reforming pension and health benefit programs, and consolidating city facilities to reduce operational costs. The team also facilitated workshops to enhance the city's innovation infrastructure, empowering employees to adopt new practices and improve service delivery. The comprehensive approach not only provided immediate financial relief but also established a framework for long-term fiscal health. The GMC report served as a blueprint for the city, leading to the creation of a new role focused on innovation and the implementation of the report's recommendations. Ultimately, the collaboration between the GMC, city officials, and EY-Parthenon resulted in actionable insights that positioned Milwaukee on a path toward financial recovery and sustainable governance.

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