City Council

TROY CITY COUNCIL FINANCE MEETING AGENDA February 1st, 2024 6:30 P.M. Pledge of Allegiance Roll Call Public Forum Presentation of Agenda LOCAL LAW 1. A Local Law Amending Sections 257-11, 257-13, 257-22, And 257-25 Of The Code Of The City Of Troy (Council President Steele, Council Member Casey) (At The Request Of The Administration) (For Introduction Only) ORDINANCES 4. Ordinance Appropriating Funding From The Assigned Unappropriated Fund Balance Of The Water Fund For The Purpose Of An Emergency Temporary Corrosion Control Treatment System At The Water Filtration Plant And Amending The Water Fund To Appropriate Such Funding (Council President Steele) (At The Request Of The Administration) RESOLUTIONS 31. Resolution Of Troy City Council Authorizing And Scheduling A Public Hearing In Connection With Proposed Local Law No. 1 Of 2024 Amending Troy City Code Chapter 257 (Council President Steele) (At The Request Of The Administration) 1 Carmella R. Mantello Office of the Mayor Seamus P. Donnelly Mayor, City of Troy City Hall Deputy Mayor, City of Troy 433433 River Str 433 River Street PhPH Troy, New York 12180 Phone (518) 279-7130 To: All City Council Members From: Mayor Carmella R. Mantello Date: January 29, 2024 Re: State of the City Per the requirements of the Troy City Charter Section C-34, the State of the City remains under review. Since taking office just four weeks ago, we have embarked on a systematic and thorough review of city operations, personnel and infrastructure. To date, our accomplishments include but are not limited to the following: ● S&P Global Ratings, a leading independent ratings agency worldwide, assigned the City an A+ long term rating ● Addressing major broken infrastructure and public safety hazards ● Improving city morale and focusing on filling the nearly forty vacancies ● The hiring of Troy’s first Diversity, Inclusion, and Outreach Director ● An overhaul of the depleted Department of Code ● Staffing critical vacancies in the Department of Public Utilities ● Swore in one of the largest class of Troy Police Department recruits in recent memory with eight new officers joining the department A full in-depth State of the City address is scheduled for Wednesday, February 21st, at 7 pm at the Troy Music Hall. At which time I will announce an amendment to the Charter to formally allow newly elected Mayors a greater period of time to properly assess the State of the City, as is the practice in most municipalities. An official invitation will be forwarded to you in the near future and I look forward to seeing you there. Thank you. If you have any questions, I am always available.  LOCAL LAW NO. 1 A LOCAL LAW AMENDING SECTIONS 257-11, 257-13, 257-22, AND 257-25 OF THE CODE OF THE CITY OF TROY BE IT ENACTED BY THE CITY COUNCIL OF THE CITY OF TROY: Section 1. Section 257-11 is amended by striking out and adding language or other matter as follows: Real property shall be exempt from taxation to the extent provided in the schedule herein, if: A. Owned by one or more persons, each of whom is 65 years of age or older or will become 65 years of age on or before December 31 of the same year of the appropriate taxable status date; or B. Owned by husband and wife a married couple, one of whom is 65 years of age or older or will become 65 years of age before December 31 of the same year of the appropriate taxable status date. Annual Income Percentage of Assessed Valuation Exempt From Taxation $40,000 or less 50 percent Annual Income Tentative Assessment Roll Percentage Assessed Valuation Exempt From 2007 2008 2009 2010 Taxation $26,000 or less $27,000 or less $28,000 or less $29,000 or less 50% $26,001 to $27,000 $27,001 to $28,000 $28,001 to $29,000 $29,001 to $30,000 45% $27,001 to $28,000 $28,001 to $29,000 $29,001 to $30,000 $30,001 to $31,000 40% $28,001 to $29,000 $29,001 to $30,000 $30,001 to $31,000 $31,001 to $32,000 35% $29,001 to $29,900 $30,001 to $30,900 $31,001 to $31,900 $32,001 to $32,900 30% $29,901 to $30,800 $30,901 to $31,800 $31,901 to $32,800 $32,901 to $33,800 25% $30,801 to $31,700 $31,801 to $32,700 $32,801 to $33,700 $33,801 to $34,700 20% $31,701 to $32,600 $32,701 to $33,600 $33,701 to $34,600 $34,701 to $35,600 15% $32,601 to $33,500 $33,601 to $34,500 $34,601 to $35,500 $35,601 to $36,500 10% $33,501 to $34,400 $34,501 to $35,400 $35,501 to $36,400 $36,501 to $37,400 5% Section 2. Section 257-13 (A) is amended by striking out and adding language or other matter as follows: No exemption shall be granted:  LOCAL LAW NO. 1 A. If the income of the owner or the combined income of the owners of the property exceeds the sum of $29,900 $40,000 for the calendar year preceding the date of making application for exemption. for the income tax year applicable to the exemption. Because the City’s taxable status date is March 1, the applicable income tax year shall be the second most recent calendar year, and shall include the twelve- month period for which the owner or owners filed a federal personal income tax return or, if no such return is filed, the calendar year. Where title is vested in either the husband or the wife, their combined income a married person, the combined income of such person and such person's spouse may not exceed such sum. However, where one spouse or ex-spouse is absent from the property due to divorce, legal separation, or abandonment, then only the income of the spouse or ex-spouse residing on the property shall be considered and may not exceed such sum. Such income shall include social security and retirement benefits, interest, dividends, net rental income, salary or earnings, and net income from self-employment, but shall not include gifts or inheritances, nor distributions received from an individual retirement account or individual retirement annuity that were included in the applicant’s federal adjusted gross income. ; and any such income shall be offset by all medical and prescription drug expenses actually paid which were not reimbursed or paid for by insurance. Section 3. Section 257-22 (B) is amended by striking out and adding language or other matter as follows: Real property tax exemptions for persons with disabilities are linked to annual income and based on a percentage of assessed valuation of property as indicated in the table schedule that follows. Annual Income Percentage of Assessed Valuation Exempt From Taxation $40,000 or less 50 percent Annual Income Tentative Assessment Roll Percentage Assessed Valuation Exempt From 2007 2008 2009 2010 Taxation $26,000 or less $27,000 or less $28,000 or less $29,000 or less 50% $26,001 to $27,000 $27,001 to $28,000 $28,001 to $29,000 $29,001 to $30,000 45% $27,001 to $28,000 $28,001 to $29,000 $29,001 to $30,000 $30,001 to $31,000 40% $28,001 to $29,000 $29,001 to $30,000 $30,001 to $31,000 $31,001 to $32,000 35% $29,001 to $29,900 $30,001 to $30,900 $31,001 to $31,900 $32,001 to $32,900 30% $29,901 to $30,800 $30,901 to $31,800 $31,901 to $32,800 $32,901 to $33,800 25% $30,801 to $31,700 $31,801 to $32,700 $32,801 to $33,700 $33,801 to $34,700 20% $31,701 to $32,600 $32,701 to $33,600 $33,701 to $34,600 $34,701 to $35,600 15% $32,601 to $33,500 $33,601 to $34,500 $34,601 to $35,500 $35,601 to $36,500 10% $33,501 to $34,400 $34,501 to $35,400 $35,501 to $36,400 $36,501 to $37,400 5%  LOCAL LAW NO. 1 Section 4. Section 257-25 (A) is amended by striking out and adding language or other matter as follows: No exemption shall be granted: A. If the income of the owner or the combined income of the owners of the property making application for exemption, for the income tax year immediately preceding the date of making application for exemption, applicable to the exemption exceeds the sum of $29,900 $40,000 for the income tax year applicable to the exemption. “Income tax year” shall mean Because the City’s taxable status date is March 1, the applicable income tax year shall be the second most recent calendar year, and shall include the twelve-month period for which the owner or owners filed a federal personal income tax return or, if no such return is filed, the calendar year. Where title is vested in either the husband or the wife, their combined income a married person, the combined income of such person and such person's spouse may not exceed such sum. , except However, where the husband or wife, or ex- husband or ex-wife one spouse or ex-spouse is absent from the property due to divorce, legal separation, or abandonment, then only the income of the spouse or ex-spouse residing on the property shall be considered and may not exceed such sum. Such income shall include social security and retirement benefits, interest, dividends, total gain from the sale or exchange of a capital asset which may be offset by a loss from the sale or exchange of a capital asset in the same income tax year, net rental income, salary or earnings, and net income from self-employment, but shall not include distributions received from an individual retirement account or individual retirement annuity that were included in the applicant’s federal adjusted gross income, nor a return of capital, gifts, inheritances, or money earned through employment in the federal foster grandparent program, and any such income shall be offset by all medical and prescription drug expenses actually paid which were not reimbursed or paid for by any insurance. In computing net rental income and net income from self-employment, no depreciation deduction shall be allowed for the exhaustion, wear and tear of real or personal property held for production of income; or Section 5. The City Council hereby enacts the foregoing amendments to Chapter 257 of the Troy City Code and authorizes the codification of these amendments, with the elimination of the words and other matter herein struck out and the addition of the underlined words and other matter, as delineated in the foregoing Sections of this Local Law. Section 6. This Local Law shall take effect upon its adoption and filing in the Office of the Secretary of State of the State of New York and shall apply to applications for exemption due on taxable status dates occurring after January 1, 2024.  LOCAL LAW NO. 1 Approved as to form, ________________________, 2024 Richard T. Morrissey, Corporation Counsel  Local Law 1 ASSESSOR’S MEMORANDUM IN SUPPORT OF PROPOSED LOCAL LAW NO. 1-2024 Proposed Local Law No. 1-2024 would amend provisions of the City Code related to real property tax exemptions for properties owned by senior citizens and persons with disabilities. The amendments are consistent with revisions to Real Property Tax Law §§459-c and 467 that were recently passed by the New York State Legislature (Chapter 59 of the Laws of 2023), as well as with two Local Laws recently passed by Rensselaer County pursuant to the New York State legislative changes to the RPTL. (copies attached as exhibits). The amendments to the City Code set the maximum annual income to be eligible for such exemptions at $40,000 (up from $29,900) and provide a 50 percent exemption to the assessed value of qualified properties. The income and exemption amounts are the same as those enacted by Rensselaer County for the County Tax. This Local Law revises the schedules of income and percentage exemptions currently in the Code and makes them the same for both senior citizens and persons with disabilities. Consistent with the changes to the RPTL, the amendments also exclude from the definition of “income” distributions received from an individual retirement account or individual retirement annuity that were included in the applicant’s federal adjusted gross income. Consistent with the County legislation, the amendments also disallow a previously permitted offset from income for unreimbursed medical and prescription drug expenses that were actually paid by the applicant. These amendments also modernize the marriage references in the chapter. This Local Law will take effect upon filing in the Office of the Secretary of State and shall apply to applications for exemption due on taxable status dates occurring after January 1, 2024.  ORD 4 ORDINANCE APPROPRIATING FUNDING FROM THE ASSIGNED UNAPPROPRIATED FUND BALANCE OF THE WATER FUND FOR THE PURPOSE OF AN EMERGENCY TEMPORARY CORROSION CONTROL TREATMENT SYSTEM AT THE WATER FILTRATION PLANT AND AMENDING THE WATER FUND TO APPROPRIATE SUCH FUNDING The City of Troy, convened in City Council, ordains as follows: Section 1. The City Council hereby appropriates funding from the Water Fund Assigned Unappropriated Fund Balance to be used for an emergency temporary corrosion control treatment system at the Water Filtration Plant. Section 2. The City of Troy 2024 budget is herein amended as set forth in Schedule A entitled: 2024 Budget Amendment(s) – Assigned Unappropriated Fund Balance – Water Fund which is attached hereto and made a part hereof Section 3. This act will take effect immediately. Approved as to form ____________________, 2023 Richard T. Morrissey, Corporation Counsel  ORD 4 Carmella Mantello Gabrielle Mahoney Mayor City Treasurer Seamus Donnelly Deputy Mayor Office of the City Comptroller Phone: (518) 279-7103 City Hall Fax: (518) 268-1682 433 River Street Troy, New York 12180 Date: January 26, 2024 To: Troy City Council From: Gabrielle Mahoney, City Treasurer Re: Memo In Support – 2024 Budget Amendment(s) – Assigned Unappropriated Fund Balance – Water Fund The City has bid for the emergency temporary corrosion control treatment system at the Water Filtration Plant for the 2024 fiscal year. The bid was awarded to the lowest bidder, Eckert Mechanical. This ordinance uses $150,000 of the fund balance in the Water Fund for this purpose. In March of 2023 The City of Troy was placed under an Administrative Order for exceeding the Maximum Contaminant Level (MCL) of the lead and copper rule by the Environmental Protection Agency (EPA). The City is required to implement an emergency temporary corrosion control system per the direction of the State Health Department and EPA. This system will be followed by a permanent system to be installed within two years. The Funds will be used to install a chemical feeding system and all of the appropriate piping and mechanicals that will allow us to feed Orthophosphate which is a chemical that will create a protective lining on the inside of lead water service lines.  Schedule A 2024 Budget Amendment(s) – Assigned Unappropriated Fund Balance – Water Fund Original Change Revised Project Account No. Description Budget* (+/-) Budget Water Fund Revenues Appropriatied Fund Balance F.8300.8018.0000.0000 Appropriatied Fund Balance 0.00 150,000.00 150,000.00 Total Water Fund Budget Revenue Increase 150,000.00 Expenditures Purification F.8330.0303.0000.0000 Other Material & Supplies 1,187,097.00 150,000.00 1,337,097.00 Total Water Fund Budget Expenditure Increase 150,000.00 Net Impact On Water Fund 0.00 * Or as previously amended  RES 31 RESOLUTION OF TROY CITY COUNCIL AUTHORIZING AND SCHEDULING A PUBLIC HEARING IN CONNECTION WITH PROPOSED LOCAL LAW NO. 1 OF 2024 AMENDING TROY CITY CODE CHAPTER 257 BE IT RESOLVED that the City Council of the City of Troy and the Mayor will conduct a Public Hearing in relation to: A Local Law Amending Troy City Code Chapter 257, as it relates to the income qualifications of seniors and disabled persons for partial property tax exemptions; and BE IT FURTHER RESOLVED that a Public Hearing shall be held on February ___, 2024, at _______ p.m., at City Council Chambers, Troy City Hall, 433 River Street, Fifth Floor, Troy, New York; and BE IT FURTHER RESOLVED that the City Clerk shall have the following notice published in the appropriate manner: NOTICE OF PUBLIC HEARING REGARDING A LOCAL LAW TO AMEND TROY CITY CODE CHAPTER 257 Said Public Hearing shall be held on February ____, 2024, at ______ p.m. at City Council Chambers, Troy City Hall, 433 River Street, Fifth Floor, Troy, New York. All interested parties may be heard and complete copies of the proposed Local Law shall be made available for public inspection at the City Clerk’s office beginning February 2, 2024. BE IT FURTHER RESOLVED that this Resolution shall take effect immediately. Approved as to Form _________________________ ___________________________________ Richard T. Morrissey, Corporation Counsel