2% TAX DECREASE

Google Translate 

For Immediate Release: February 4, 2019

 

MAYOR PALMIERI PROPOSES FY 2019-2020 BUDGET WITH 2% TAX DECREASE

Mayor Palmieri today presented his FY 2019-2020 budget to the Board of Estimate and Apportionment which comes with a proposed 2% tax decrease.

 

The Mayor’s $71.8 million budget increases spending by less than 1% annually over an 11- year span, a testament to the City’s fiscal discipline.

 

The City of Utica’s financial position significantly improved over the past seven years as our progress has been recognized by independent financial institutions.

 

Fitch Ratings, Moody’s and Standard & Poor’s Global Ratings (S&P Global) have all upgraded Utica’s credit rating with the city earning its first “A” rating with S&P Global for the first time in 30 years.

 

These results stem from positive fiscal trends including the significant expansion of the city’s tax base and increased sales tax revenue which is a strong indicator of economic growth.

 

Over the past seven years, the city has sold over 600 properties including most recently the Utica Marina and the former General Electric Building on Bleecker Street. These two unexpected sales significantly increased the city’s revenue while also eliminating the cost to maintain these properties.

 

Looking forward, the city is pursuing a partnership with the New York Power Authority (NYPA) to purchase street lights currently owned by National Grid.

 

NYPA is providing the financing for this transformational project which will upgrade our existing street light infrastructure, reduce energy consumption, lower utility costs, decrease maintenance/operating expenses and improve light quality throughout the city.

 

Approximately 90% of the proposed budget is comprised of mandates and contractual obligations.

 

Mayor Palmieri stated, “I have always believed we should run government like a business as much as possible. In the private sector, shareholders benefit when a company has a productive year. In government, the residents are the shareholders and deserve to reap the benefits when government performs well.”

 

Mayor Palmieri continued, “The cumulative impact of expanding our tax base, increasing sales tax revenue, selling major commercial properties and purchasing our street lights has a substantive, positive effect on the budget and as a result I am pleased to announced my FY 2019-2020 proposed budget comes with a 2% tax decrease.”

 

Comptroller Bill Morehouse stated, “As a result of the collaboration and strong working relationship between the Comptroller’s Office, the Mayor’s Office and the Common Council, the City of Utica has achieved tremendous economic and financial progress. I commend Mayor Palmieri and his staff for crafting another responsible budget that will provide tax relief for Utica residents and continue to strengthen our financial position.”

The Mayor’s Budget Message and Proposal can be found at www.cityofutica.com.

2019-2020 Presentation