No Federal Solution in Sight as Migrant Influx Strains US Major Cities

The nation’s big cities are feeling the strain from a record-high influx of migrants coming through the southern border, leading to budget challenges and a call for federal assistance.

An analysis from S&P Global Ratings revealed that out of the 100,000 immigrants transported by Texas since 2022, 84% were directed to Denver, Chicago, and New York.

Denver, the U.S. city with the highest number of migrants per capita, is using savings from 2024 to allocate at least $5 million from its budget for migrant services, with further cuts expected, as reported by Axios reported.

Due to this increase, the city has had to reduce hours at motor vehicle departments and recreational centers, as well as pause hiring for some city staff. Denver Mayor Mike Johnston told NPR that over 40,000 migrants have arrived in the city in 2023, prompting plans to limit new arrivals in the future without federal assistance.

A federal survey found that refugees and asylum seekers have historically had a positive fiscal impact in the U.S., generating nearly $124 billion in government revenues between 2005 and 2019.

In Chicago, Mayor Brandon Johnson has set aside approximately $150 million for immigrants in the 2024 budget, but a recent agreement with state and county leaders requires an additional $70 million, according to Axios.

However, some Black constituents and leaders have criticized the mayor for not prioritizing the existing local communities amid accusations that new arrivals are receiving more attention.

Meanwhile, New York has implemented cost-saving measures at its humanitarian relief centers and is renegotiating vendor contracts to cut expenses, as mentioned in the S&P report. The city has revised cost estimates for sheltering new arrivals to $4.2 billion and $4.9 billion for fiscal years 2024 and 2025, respectively.

Despite these challenges, Axios pointed out a lack of progress on immigration reform at the federal level in Congress or the White House.