SCHENECTADY City’s finances in dire straits Fund balance dwindling as cash flow problems appear BY KATHLEEN MOORE Gazette Reporter
Just two weeks into the new year, the city’s financial plight is so dire that it may ask its unions for concessions, turn to layoffs or massively reorganize services, the mayor said. “The numbers are what they are,” Mayor Brian U. Stratton said. “We need to plan for the worstcase scenario.” With cutbacks likely in 2011 state aid, the city may have to fill a $7 million hole in next year’s budget, he said. The state is only projected to cut $1.2 million and has delayed payments on another $1.2 million. But that hit, combined with the decision to spend $4.4 million of the city’s savings this year, will put Schenectady on uncertain ground next year. “The fund balance is going away fast,” Stratton said, and for the fi rst time, he acknowledged that there will not be $4.4 million left to use next year. “That won’t be available, in all likelihood,” he said. “Hopefully, there will be some surplus to apply from the 2009 year, but that is not known [yet].” Last fall, before the state aid cuts were publicly discussed, the council accepted Stratton’s plan to spend down the savings accounts. It also cut further to eliminate any tax increase for 2010. Now that decision may have left the city in a tough position — cash flow has already become somewhat problematic. Stratton said he’s considering delaying the 2010 pension payment due to the state because of reduced cash fl ow. “We could maybe delay our pension payment to ease our cash flow in the first quarter,” he said, but he added that cash flow will be far more strained in the fourth quarter. In the city’s worst years, it had to borrow money to get through the fourth quarter. One of Stratton’s accomplishments in his fi rst term was to build enough savings to eliminate that expensive borrowing. Stratton blamed the council, to some extent, for exacerbating the problem by rejecting his proposed 2010 tax hike. Instead, they whittled away $1.72 million to leave the tax rate unchanged, taking away a cushion that could have helped the city withstand the state aid delay. But Councilman Mark Blanchfield, who is chairman of the fi - nance committee, noted that it was Stratton’s idea to spent $4.4 million in savings. The council did not add to that amount. ................>>>>....................>>>>...............................http://www.dailygazette.net/De.....r01101&AppName=1
This should surprise no one as the city and city council have been spending money like we had a trillion dollar surplus when the taxpayers have been saying stop the spending and balance the budget.
So how does the Mayor explain the spending of 1 million on the Erie Blvd project? That is a fluff project that doesn't HAVE to be done.
Right Cel. But this is for his "hi-dreck corridor"-lol-empty Ken cleaners and Silver Diner "The numbers are what they are" stated Mayor Stratton. More brilliance from City Hall.
They numbers "are what they are" because of complete contempt for the taxpayers aka sheeple. Refusal to budget, refusal to end give away contracts and the complete failure of Metrograft to generate any tax revenue or jobs. The implosion of the REPS and lack of any checks and balances is also a major part of this fiscal crisis.
Why bother having candidates to run against the very same council members and Mayor who continuously makes bad decisions to put us in this position? And the Reps cannot find candidates to run because everything is running so smoothly???????
"While Foreign Terrorists were plotting to murder and maim using homemade bombs in Boston, Democrap officials in Washington DC, Albany and here were busy watching ME and other law abiding American Citizens who are gun owners and taxpayers, in an effort to blame the nation's lack of security on US so that they could have a political scapegoat."
Cut spending. Instead of offering above and beyond, instead of "re-doing" Erie Blvd, instead of planning brand new 50 million dollar health facilities, instead of building a 20 million dollar garage to park your dump trucks, Instead of a failed 10 million dollar library plan on which 1 million in design fees were thrown down the toilet- SPEND LESS. There is my plan. It is so complex it goes over every ones' heads. I know, the few legislators who were "against" these things were called names. Obstructionists, naysayers, blah blah blah. I balance my checkbook in the private sector, government should too. I don't car how many names you want to call, I live in reality, a reality dictated by how much is in my checkbook. If I were legislator or councilman, I wouldn't vote the way these people have.
"While Foreign Terrorists were plotting to murder and maim using homemade bombs in Boston, Democrap officials in Washington DC, Albany and here were busy watching ME and other law abiding American Citizens who are gun owners and taxpayers, in an effort to blame the nation's lack of security on US so that they could have a political scapegoat."
Cut spending. Instead of offering above and beyond, instead of "re-doing" Erie Blvd, instead of planning brand new 50 million dollar health facilities, instead of building a 20 million dollar garage to park your dump trucks, Instead of a failed 10 million dollar library plan on which 1 million in design fees were thrown down the toilet- SPEND LESS. There is my plan. It is so complex it goes over every ones' heads. I know, the few legislators who were "against" these things were called names. Obstructionists, naysayers, blah blah blah. I balance my checkbook in the private sector, government should too. I don't car how many names you want to call, I live in reality, a reality dictated by how much is in my checkbook. If I were legislator or councilman, I wouldn't vote the way these people have.
You clearly are NOT a liberal, socialist democrat!!! CONGRATULATIONS!!!
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
Cut spending. Instead of offering above and beyond, instead of "re-doing" Erie Blvd, instead of planning brand new 50 million dollar health facilities, instead of building a 20 million dollar garage to park your dump trucks, Instead of a failed 10 million dollar library plan on which 1 million in design fees were thrown down the toilet- SPEND LESS. There is my plan. It is so complex it goes over every ones' heads. I know, the few legislators who were "against" these things were called names. Obstructionists, naysayers, blah blah blah. I balance my checkbook in the private sector, government should too. I don't car how many names you want to call, I live in reality, a reality dictated by how much is in my checkbook. If I were legislator or councilman, I wouldn't vote the way these people have.
Bravo Graham-add two more idiotic proposals to this list 1)the forced march of the SCCC music department to Proctors and 2) the One million dollars thrown down the toilet for Big House now the Beauty College.
Just announced another stunda "street scape" for lower State!!! Like Erie-like Union-like Upper State. BTW, where's the improvement in Vale after millions dumped up there? But the sidewalks and curbing is beautiful!!
Logged
Right Cel. But this is for his "hi-dreck corridor"-lol-empty Ken cleaners and Silver Diner "The numbers are what they are" stated Mayor Stratton. More brilliance from City Hall. 
