Phoenix mayor pushes for share of bailout money

Phoenix Mayor Phil Gordon wants cities to get some of the money in the federal government's $700 billion bailout plan.

Gordon joined the mayors of Philadelphia and Atlanta in writing a letter to Treasury Secretary Henry Paulson, suggesting the cities get $50 billion for investments in infrastructure and loans, some of which would help pay pension costs.

"Let's build those roads, those parks, those water treatment plants, those libraries, all of which are needed, all of which are scheduled," Gordon told News/Talk 92-3 KTAR on Friday.

He added the money could also improve the jobs outlook, saying it would "help build public infrastructure that would put people immediately back to work in great-paying jobs."

The letter said, ``We who run some of America's larger cities are dealing with the economic damage wrought by the credit and housing crises as we write this to you.``The economic contraction precipitated by these twin crises is forcing us, and mayors all across the country, to dramatically reduce programs and services for millions of residents we serve.''

Philadelphia Mayor Michael Nutter planned to travel to Washington by train Friday to hand-deliver the letter to Paulson. He also planned to meet with Treasury Department officials and an adviser to president-elect Barack Obama's transition team.

Last week, Nutter announced Philadelphia would be laying off city employees, cutting salaries, closing most of its swimming pools and shutting nearly a dozen library branches to cope with a $108 million shortfall this year caused by lower business and real estate tax revenue. The deficit could grow to a total of $1 billion over five years.

In Phoenix, the city is expecting a $250 million deficit this year, which could lead to cuts in police, fire, parks and library services, Gordon has said.

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