7/28/2019 Michele Madigan budget surplus statement

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City of Saratoga SpringsOFFICE OF COMMISSIONER OF FINANCE

MICHELE D. CLARK-MADIGANCOMMISSIONEROFFINANCE

474 Broadway - City HallSaratoga Springs, New York 12866-2296

518-587-3550Fax 518-580-0781

M. LYNN BACHNERDeputy Commissioner

CHRISTINE GILLMETT-BROWNDirector of Finance

MICHAEL T. KINGReceiver of Taxes

KAMERON KLIPPELPrincipal Account Clerk

FLORENCE C. WHEELERPayroll Administrator

PRESS RELEASEFor Immediate Release: April 15, 2013

Contact: Commissioner of Finance, Michele MadiganTelephone: (518) 587-3550 ext 2577; (518) 526-9377Email: michele.madigan@saratoga-springs.org

Re: 2012 YEAR-END STRONG AND IN THE BLACK; COMMISSIONER MADIGANRECOMMENDATIONS TO INCLUDE INCREASED FUNDING FOR CRIMECONTROL AND PREVENTION

Commissioner of Finance Michele Madigan reports for the second year in a row that City general fund(operating budget) revenues have outpaced City expenses. Unaudited year-end figures for 2012 reveal anannual operating surplus of $2.2 million. This results in a 2012 general fund unrestricted, unassigned fundbalance of about $6.16 million.

The successful ambulance program was a major reason that 2012 revenues came in over budget, as werestrong sales tax collections, and the completion of foreclosure proceedings left unfinished by the previousadministration. On the expense side, health care costs were down due to a switch to a single carrier for mostenrollees and an increase in co-pays. Utility bills, unemployment compensation, and over time/comp timewere also lower than expected.

Under the Citys current Fund Balance policy, the audited unrestricted, unassigned fund balance for the generalfund must be between 10% and 12.5% of the total adopted general fund budgeted expenditures of the ensuing

year, and the Finance Commissioner is required to address any excess or deficiency. For 2012, fund balancemust be between $3.98 million and $4.98 million. Unaudited figures indicate that the 2012 fund balance isin excess of the maximum by about $1.18 million.

Commissioner Madigan states that saving is as important as spending under any circumstances, and herrecommendations will take into consideration strengthening reserves, capital program and departmentalneeds, and most importantly, the citizens and taxpayers of Saratoga Springs. Encouraging a safe andeconomically vibrant City while stabilizing tax rates is a great outcome for all of the Citysstakeholders.

Last year, Finance Department recommendations included increasing reserves (tax stabilization, capital, andretirement), investing in City capital budget needs, and setting aside funds for long unsettled labor contracts.

These recommendations were approved unanimously by the City Council.

Commissioner Madigan notes: In past budget seasons, critical City resources were slashed while thefund balance has been increasing. My goal is to realign fund balance accumulated with realistic revenueestimates and essential service expenditures.

It is especially important that we ensure appropriate resources are dedicated to crime control andprevention. A safe City is an economically viable City. This is the quality of life that our citizensexpect, deserve, and pay for, and I hope the Council will join me in keeping our City strong and safe.