City Council

October 26, 2022 CITY OF SARATOGA SPRINGS Budget Workshop City Hall 474 Broadway 4:00 PM 4:00 PM CALL TO ORDER ROLL CALL SALUTE TO FLAG PUBLIC COMMENT PERIOD / 15 MINUTES PRESENTATIONS CONSENT AGENDA MAYOR’S DEPARTMENT ACCOUNTS DEPARTMENT FINANCE DEPARTMENT 1. Budget Overview 2. Discussion: 2023 Budget Workshop – Department of Civil Service 3. Discussion: 2023 Budget Workshop – Mayor’s Department PUBLIC WORKS DEPARTMENT PUBLIC SAFETY DEPARTMENT SUPERVISORS ADJOURN Budget Workshop 10/26/22 October 26, 2022 CITY OF SARATOGA SPRINGS Budget Workshop City Hall 4:00 PM PRESENT: Ron Kim, Mayor Minita Sanghvi, Commissioner of Finance Dillon Moran, Commissioner of Accounts (via Zoom) Jason Golub, Commissioner of Department of Public Works (arrived at 4:07 p.m.) James Montagnino, Commissioner of Department of Public Safety STAFF PRESENT: Angela Rella, Deputy Mayor Heather Crocker, Deputy Commissioner, Finance Stacy Connors, Deputy Commissioner, Accounts (via Zoom) Jason Tetu, Deputy Commissioner, Department of Public Safety EXCUSED: Joe O’Neill, Deputy Commissioner, Department of Public Works RECORDING OF PROCEEDING The proceedings of this meeting were taped for the benefit of the secretary. Because the minutes are not a verbatim record of the proceedings, the minutes are not a word-for-word transcript. CALL TO ORDER Mayor Kim called the meeting to order at 4:03 p.m. PUBLIC COMMENT Mayor Kim opened the public comment period at 4:04 p.m. No one spoke. Mayor Kim closed the public comment period at 4:05 p.m. Finance Department Commissioner Sanghvi stated there are four items on the agenda – overview; discussion of 2023 budget for Civil Service; discussion of 2023 budget for Mayor’s Department; and discussion about the Capital Budget. Commissioner Sanghvi moved and Mayor Kim seconded to add the discussion about the Capital Budget to the agenda. Page 2 of 5 Budget Workshop 10/26/22 Ayes – All (Commissioner Moran, Commissioner Sanghvi, Commissioner Golub, Commissioner Montagnino, and Mayor Kim) Nays – 0 Commissioner Sanghvi stated there are four steps in the budget process – a requested budget, a comprehensive budget, the amended budget, and the vote on budget. The goal is to work together to achieve the final budget and leave the City in a better position than when they took office. Commissioner Sanghvi stated she has spoken about the use of ARPA (American Rescue Plan Act) funds in the 2022 budget. The City’s regular revenue sources would only support a $50.2 million dollar budget in 2022 and the $3.9 million dollars from the ARPA funds enable the City to adopt a $54.2 million dollar budget for 2022. The ARPA funds were put in the general operating fund for day-to-day operations. Commissioner Sanghvi stated the sales tax, mortgage tax, and occupancy tax has been strong in 2022. There are new revenues coming in the form of excise tax on cannabis and licenses, it can’t bridge the gap of $4 million dollars plus the 26% increase in the requested budget. Each department was asked to provide cuts from their initial requested budgets. The Finance Department made deeper cuts in some areas as the departments didn’t reach the requested cuts themselves. The 2023 comprehensive budget is slightly more than the adopted 2022 budget. No currently filled positions have been eliminated from the 2023 budget, but positions that remained unfilled through the current budget year were not funded. To manage all of these costs, unassigned fund balance is being used and real property tax is being increased from $6.40 to $6.67 per $1,000 of taxable assessment for the inside district and $6.37 to $6.61 per $1,000 of taxable assessment for the outside district for an average increase of 3.72%. Mayor’s Department Commissioner Sanghvi stated the Mayor’s Department makes up 7% of the 2023 comprehensive budget at $3,707,316.75. There are two significant changes for 2023 in the Mayor’s Department with a new hire of an additional city attorney and the transfer of the director of risk and safety to the Mayor’s Department from the Accounts Department. This accounts for a $200,000 increase. Mayor Kim stated there are five items they would like to be considered as additions to the budget. He feels they are a resource department and the public face to the City. Mayor Kim stated building permits are 8 – 12 weeks. The position of building inspector has been in the budget but has not been filled and would like to fill this position in 2023. Mayor Kim stated they are looking to include a zoning and building administrator to support the Building Department to interact with the public and move applications forward in a timely manner. The Building Department generates revenue and will pay for itself. Commissioner Sanghvi asked for suggestions of how to increase revenue. Mayor Kim advised he could provide ideas of revenue that can be generated with this position. Mayor Kim asked that the budget be amended to include money for the consultant Delta Development. This consultant can assist the City in looking for grants. The current comprehensive budget assumes the contract with Delta Development will only go for six months and they would like to fund it for the complete year. Mayor Kim asked for money for outside legal counsel. He would like to restore both Goldberger & Kremer at $25,000 and Miller, Mannix, Schachner, Hafner at $60,000. Commissioner Sanghvi stated she understood that with a full time city attorney the City would need less money for outside counsel. Page 3 of 5 Budget Workshop 10/26/22 Mayor Kim stated that because of the finding of Beaver Pond, outside bankruptcy legal counsel will need to be hired. Mayor Kim asked for an increase in the human resource specialist salary from $50,938 to $50,939. There are only two staff members in the Human Resource Department. Commissioner Moran stated he supports the mayor request of Delta Development being included in the budget and agrees more help is needed in the Building Department. Both of these requests are logical requests. Civil Service Department Commissioner Sanghvi stated the Civil Service Department makes up 0.37% of the 2023 comprehensive budget at $203,556. Corissa Salvo stated they are looking for increases in various lines. Some of the increases are as follows:  $300 increase in postage for 2023  $504 increase in advertising for 2023  $800 increase for training for 2023  Additional money for rental of office space to give tests in the event free space is not available  $200 increase in phones/fax for 2023  $100 increase for printer lease  $8,800 increase for medical exams (public safety)  Total of amended expenses (request) is $12,604 Corissa also asked the revenue line for Civil Service be increased a little. Commissioner Moran asked as it relates to the budget, where are matching funds located. Commissioner Sanghvi stated matching funds come into play only after the City has received the grant. Capital Budget Commissioner Sanghvi stated the costs of capital projects is supported by the issuance of bonds, reserves, and grants. The capital budget projects total $6,670,686 and the water and sewer projects total $2,295,795 for a total of $8,966,481. Commissioner Sanghvi stated there are no changes to the list. She highlighted the following projects:  New ambulance at $405,000  Loughberry Lake Dam at $1,450,000  Water infrastructure improvement at $1,500,000  ADA Transition Plan at $317,500  Playgrounds and facilities at $530,000  DPW Equipment at $939,870 Commissioner Sanghvi stated the debt limit for year ending 2022 is $99,854,490. The current outstanding bonded debt is $87,347,299 with the estimated amount available to bond in 2023 is $36,365,623. Mayor Kim stated he does not see equipment for the third fire station in the capital budget. Commissioner Montagnino stated there is no expense for next year so it should appear in 2024. Page 4 of 5 Budget Workshop 10/26/22 ADJOURNMENT Commissioner Montagnino moved and Commissioner Sanghvi seconded to adjourn the meeting at 5:01 p.m. Ayes – All (Commissioner Moran, Commissioner Sanghvi, Commissioner Golub, Commissioner Montagnino, and Mayor Kim) Nays - 0 Respectfully submitted, Lisa Ribis Secretary to the City Council Approved: 3/21/2023 Vote: 4 - 0 Page 5 of 5