Democracy In Albany

The Council doesn’t have much say on the budget. According to the Charter, the Mayor sets salaries and personnel costs make up over 70% of the budget. During the Common Council’s discussions of the budget, I proposed that the Council eliminate 50 of the approximately 72 unfilled positions being funded in the budget. This would save a million or two dollars. The proposal has not been accepted by the full Council as of today.

I also requested that the Council look into the cost of operating the municipal golf course – which has run at a deficit the past couple of years. The Mayor publicly condemned me on his radio show last Friday for suggesting that the fees at the golf course actually cover operating expenses. I have asked for a breakdown of users of the golf course: residents, non-residents, and private groups. To date I have not received this information. I have asked for an accounting of the contract the city has with the operator of the restaurant/clubhouse at the golf course – how much money does the city realize from this contract – I have not been given this information. I questioned how is it possible for the Council to do its due diligence on the budget when simple requests for information have been ignored.

I recommended that we hire an outside company to collect the over $2 million in outstanding parking fines. This proposal, a proposal I make every year, was again rejected out-of-hand despite a state comptroller’s report from about 5 or so years ago taking the city to task for failing to collect the outstanding parking fines.

I have proposed that the capital budget (borrowing) be at a level that is 5% less than the previous year’s amount (and we need to do this each and every year following this year) so that we can begin the process of lessening our burgeoning debt load. This proposal has not been acted on either.

I asked if it was possible to work with the unions and re-open contract talks in light of the City’s fiscal woes, but this suggestion fell on deaf ears.

Council Member Ellis suggested that if we just enforced our city code, and fined violators, we could bring in enough money to fund a program to eliminate the vacant building problem in Albany. Council Member Conti wants the one-time shot of funds from the IDA, about $1.7 million in 2008 to be used for the vacant building problem. The Mayor is proposing to use this one-time influx of money for operating expenses – leaving us with another hole to fill in 2009 when these funds won’t be available.

Please note, the following comments of mine are conjecture based on spotty information. The figures I present are “guestimates” at best and may not be close to the real thing, but due to a lack of information from the executive department, I can only speculate on the city’s fiscal outlook in the years to come.

The Mayor’s proposed 2008 budget is a BAD budget. It already has a $10 million hole in it ($8 million borrowed from the fund balance and $1.7 million from the IDA) going into the 2009 fiscal year. Plus, with the Mayor’s history of overspending the budget between $3 million and $5 million just about every year he’s been in office, the city’s potential structural deficit for 2009 could be as much as $15 million! Now, throw in the city employees’ COLA for 2009, rising health insurance costs, and the city’s retirement fund contribution, and a $20 million HOLE in 2009 is not out of the question. If taxes alone were the only way to close this deficit, the tax rate could increase by 30%! This is what we are looking at a year down the road. This is what the fiscal mismanagement of the Jennings’ administration is leading us to. The Council can only do so much – if we defeat the proposed budget, it goes into effect anyway, but at least we sent a message to the Mayor. It will take strong leadership and the willingness to say NO to any budget increase in 2009 by both the Council and the Mayor working together to solve this fiscal nightmare.

In 2009, I am willing to go on record right now with this proposal, the city must implement at a minimum a 10% across-the-board cut in its proposed budget if we are to begin the process of returning to fiscal stability. I say 2009 because 2008 is already a lost opportunity, and it isn’t even here yet.

Dominick Calsolaro

Common Council Member – First Ward