Transcript 2010 Budget Presentation

Budget Presentation
2010
Tuesday, October 13
Common Council Presentations
Budget 2010
General Fund Revenues

 Decreasing in sales tax revenues

 Decreasing Gross Receipts Utility Tax

 Decreasing Mortgage Tax Revenue

No increase in State Aid expected
Budget 2010
General Fund Expenses



 Increase in Retirement Expenses $436,295 which
equates to a 6.70% tax increase
 Increase in Healthcare Costs $236,360 in July 2010
which equates to a 3.70% tax increase
Reduction of City Workforce






5 DPW
2 Fire Fighters
1 Dispatcher
 Decrease in Overtime Expenses for City Workforce
No Raises for Elected Officials
Energy Savings Measures
Budget 2010
Energy Savings Measures
Building
National Grid Commerical Program - RISE CONTRACTS 2009
Cost of Work Estimated Lighting Estimated Lighting
(Lump Sum)
Usage (KWH)
Savings Annual($) City Share
Average Payback
(Years)
Central Fire House
$19,252.86
36,464
$4,521.52
$9,243.86
2.04
59 Pleasant Street
$5,926.35
10,685
$1,324.94
$2,993.42
2.26
City Hall/Police Dept.
$33,629.22
84,832
$10,519.21
$12,950.31
1.23
DPW Garage
$31,040.23
100,953
$12,518.23
$11,793.30
0.94
Senior Center
$15,382.80
41,442
$5,138.75
$5,891.87
1.15
Library
$15,101.44
27,362
$3,392.91
$7,590.84
2.24
$5,316.43
13,295
$1,648.56
$2,046.52
1.24
$39,064.12
$52,510.12
1.59
Music Hall
$125,649.33
Location
Cost of Work
NYPA
Estimated Energy
Savings (MMbtu)
Estimated Energy
Savings Annual($)
NYSERDA
Incentive
Average Payback
(Years)
Natural Gas Fired Broiler
$45,812.00
268
$14,031.00
$0.00
3.3
RWPS Pump and Motors
$458,536.00
0
$31,506.00
$15,047.00
14.1
Replace Heating System (DPW)
$47,580.00
69
$10,285.00
$0.00
4.6
Filtration Plant High Lift Pumps
$30,972.00
0
$9,266.00
$0.00
3.3
$582,900.00
$65,088.00
6.325
Budget 2010
Retirement Expenses
Retirement Expenses
$1,400,000
$1,200,000
Cost
$1,000,000
$800,000
$600,000
$400,000
$200,000
$0
2002 2003 2004 2005 2006 2007 2008 2009 2010
Years
Retirement Expense Formula

Police / Fire Retirement Expense

2009 Budget


2010 Budget


$40,000 salary X 14.7% retirement rate = $5,880
$40,000 salary X 16.8% retirement rate = $6,720
ERS Retirement Expense

2009 Budget


$40,000 salary X 7.0% retirement rate = $2,800
2010 Budget

$40,000 salary X 11.2% retirement rate = $4,480
2010 Budget Challenges
The Challenge
City of Cohoes
Major Uncontrollable Increases Over Previous Year
$800,000
$600,000
$400,000
$200,000
$0
2010
2011
2012
-$200,000
-$400,000
Salaries
All Benefits
Sales Tax
Mortgage Tax
2010 Budget Challenges
The Challenge
City of Cohoes
Major Uncontrollable Increases Over Previous Year
% Property Tax Increase
18.0%
16.0%
14.0%
12.0%
10.0%
8.0%
6.0%
4.0%
2.0%
0.0%
2010
-2.0%
2011
2012
-4.0%
Salaries
All Benefits
Sales Tax
Mortgage Tax
TOTAL UNCONTROLABLES
Budget 2010
General Fund

3.85 % Tax Rate Increase

Average home ($80,000 assessed) increase of
$51.20 in City Taxes (Tax Rate 16.52  17.18)

 Decrease of 8.5 FTE Positions in
General Fund Budget
Budget 2010
Water Fund Cost Drivers

 Decreasing water use

 Increased chemical cost

Dept. of Health and EPA mandates

Debt Service
Budget 2010
Decreasing Fund Balance – Water Fund
General Water Fund Balance
$1,000,000
$800,000
$600,000
Transfer from General
Fund
$400,000
$200,000
Years
2009
2008
2007
2006
2005
2004
$0
2003
Cost
Water Fund Balance
Budget 2010
Sewer Fund Cost Drivers

Albany County Sewer District charges

MS4 mandates

Long Control Plan study - $100,000

Pump Station Improvements
Albany County Sewer District Charges
$1,400,000
$1,200,000
$1,000,000
$800,000
$600,000
$400,000
$200,000
$0
2001
2002
2003
2004
Albany County Sewer District
2005
2006
2007
Total Sewage Treatment Costs
2008
2009
Budget 2010
Decreasing Fund Balance – Sewer Fund
General Sewer Fund Balance
$1,000,000
$800,000
Sewer Fund Balance
$400,000
Transfer from General
Fund
$200,000
Years
2009
2008
2007
2006
2005
-$200,000
2004
$0
2003
Cost
$600,000
Budget 2010
New Water/Sewer Rate Structure

Introduction of Flat Fee/Parcel Based on
Service Size
Residential $15/qtr
 Commercial $30/qtr
 Industrial $45/qtr


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Line size <1”
Line size (1”-3”)
Line size >3”
Reduction of consumption rate ($3.66/Kgal to
$3.50/Kgal)
Removal of Minimum Usage Threshold
Rate Change Impacts
5,000 gal/qtr
10,000 gal/qtr
16,000 gal/qtr*

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2009
$42.38
$42.38
$58.56
2010
32.50
50.00
$71.00
Average user will see an increase of $12.45/qtr in water and sewer bills.
Schedule provides predictability of funding for respective funds
Allows for recognition that expenses in this fund are mostly mandate driven
and not attributable to personnel costs
Continues to promote water and energy conservation principles by continuing
consumption values
Sewer Fund – acknowledges that 50-75% of ACDS flows are due to storm
water or ground water infiltration.
2010 Overall Budget
Compared to 2009 Adjusted Budget

Total Budget is $21,620,141 overall Funds
General Fund $17,316,218
Water Fund
$1,839,233
Sewer Fund
$1,993,905

Decrease in expenses of $470,785 or 
2.20%

General Fund $262,503 or  1.50%
Water Fund $83,428 or  4.30%
Sewer Fund
$124,854 or  5.90%
Budget Conclusions

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There are obstacles to overcome
Projections are conservative
Continued concern of impact on the
taxpayers vs. the cost to provide services
with an eye towards the current and future
financial condition of the City.
The budget process is an ongoing process
and this is just the start.
2010 Budget Schedule
Common Council Public Hearing
Tuesday Oct. 27th – Public hearing
th
Tuesday Nov. 10 – Budget Vote
All meetings start at 7pm in the
Common Council Chambers
Council will also schedule multiple budget workshops
Budget Meetings
Tuesday, Oct. 20th at 7 p.m.
Where: Lansing Street Neighborhood Watch
Thursday, Oct. 22nd at 7 p.m.
Where: Cohoes Middle School
Thursday, Nov. 5th at 7 p.m.
Where: Van Schaick Island School
Q&A