A recent review of the City of Wichita’s budget by the Wichita Organization for Government Efficiency Exchange (The Exchange) found several issues with spending controls and potential efficiency opportunities that could save millions and prevent a property tax increase.
The Exchange is a nonpartisan alliance of economists, auditors, accountants, engineers, attorneys, and public servants “dedicated to helping Wichita close looming general fund deficits without raising taxes or compromising core services.”
The Exchange surveyed nearly 300 Wichita residents, and found community priorities align with efficiency reforms over tax hikes:
- 85%+ said spending should be reviewed before any tax increase.
- 88%+ want transparency in vendor contracts.
- 75%+ lack confidence in current economic development returns.
- 60%+ support adjusting or suspending the automatic 2% annual arts funding increase.
According to the report, which was presented at a recent Wichita City Council meeting the city is facing a “tightening fiscal situation.”
“In its 2025-2026 Proposed Budget, the City Manager presented a projected $5.5M deficit in the general fund, prompting consideration of service cuts, including those for animal control and libraries,” the report reads. “Looking further ahead, budget documents reveal a $3.6M shortfall in 2026, followed by deficits of $9.3M in 2027 and $10.2M in 2028. These persistent gaps will strain the city’s ability to preserve services without generating new revenue. Unchecked, this trend risks critical reductions in services such as animal control and library operations.”
These structural deficits mean the city must either raise taxes or find ways to operate more efficiently.
The Exchange found six ways to address the budget deficits without raising spending:
- Set and Enforce Internal Cost Benchmarks
- Use peer-city comparisons, as well as other internal metrics, to establish annual per-resident spending targets by the department.
- Require departments that exceed these benchmarks to provide justification and propose efficiencies.
- Modernize Procurement and Vendor Oversight
- Implement centralized purchasing, accounts payable, and receivable controls through the Finance Department.
- Require competitive bidding for all purchases over $50,000 without exception.
- Consolidate P-card and one-time vendors into formal contracts to reduce duplication.
- Conduct quarterly reviews of contract utilization to flag overbudgeting or underuse.
- Reform Economic Development Accountability
- Enforce clawbacks within six months for underperforming developers.
- Require all developer debts over $50,000 to be disclosed in public financial reports.
- Move Visit Wichita and similar entities into city-owned properties to reduce overhead.
- Prohibit deals with vendors or developers who are in litigation with the city.
- Strengthen Financial Transparency and Public Reporting
- Publish an annual efficiency audit highlighting contract utilization, clawback enforcement, and vendor compliance.
- Post all major development agreements and financial disclosures online in a searchable format.
- Review and Reprioritize Spending on Non-Core Programs
- Freeze the automatic 2% annual increase in arts funding until the General Fund is stabilized.
- Reexamine feasibility studies, consulting contracts, and overhead allocations to identify potential savings opportunities.
- Prioritize Community Trust and Engagement
- Maintain and expand district-level budget workshops and advisory boards.
- Adopt and promote tools, such as online budget simulators, to enhance resident understanding and input.
- Publicly report progress toward cost-saving targets and use savings to protect core services.
Economist Michael Austin, who is one of the leaders of The Exchange, said the report was well received by the council.
“I thought the city of Wichita received our recommendations very well,” Austin said. “Councilman [Dalton] Glasscock went through our recommendations publicly, and he talked about how they weren’t controversial. Councilman Brandon Johnson effectively reiterated that and said that a lot of the reforms that we’re recommending have already been spoken to the council by either staff or other experts, so he was pleased to see that our report was in line with what they had already heard.”
Whether the City Council will act on any of the suggestions, however, is unclear.
