The city of Glens Falls’ proposed 2025 budget includes no property tax increase.
The final version of the $25.5 million spending plan was presented at Tuesday’s Common Council meeting.
Democratic Mayor Bill Collins says he is satisfied with the most recent iteration that, for the first time in more than two decades, features no property tax increase in the general fund.
Collins says the city’s sales tax collection is stronger than Warren County’s by half a percent so far in 2024 and that city leaders were able to slash $1.5 million from the original budget proposal.
“The city is financially doing well. We came roaring back from the recession of 2008 where our fund balance had been low and we’ve been building every year, that fund balance. And the city every year is coming in under budget and able to add to our fund balance. And so, we’re in great shape and it’s really due to the great work of the common council and the willingness of them to put in the time,” said Collins.
At Tuesday’s Common Council meeting, Collins reviewed the current version of next year’s budget including a $381,654 increase in senior retiree health insurances costs.
“This is the best result of negotiations between the city Human Resources Director Judy Villa-White and our insurance providers. You’ll also see a decrease of $249,878 on the revenue side. This is the effect of the removal of the 2.25% property tax that was included in your previous budget drafts. With these changes, the projected budget gap for 2025 is $2,245,637,” said Collins.
The mayor noted that last year’s budget gap was roughly the same size, but:
“As of October 1st, we are on track not only to release that assigned money from our fund balance, but also to add an additional $1.3 million to that fund balance if the year was to end October 1st,” said Collins.
Fourth Ward Councilor Ben Lapham was critical of the city’s budgeting.
“For being truly fiscally responsible, we should be looking at setting a balanced budget and sticking to the budget and if we’re finding that something is wrong with our estimates year after year, rather than saying, ‘I’m comfortable that we will make up the shortfall.’ We should know why and we should be able to communicate that to the taxpayers of the city of Glens Falls,” said Lapham.
Collins tells WAMC that the city is on an upward trajectory with a number of construction projects ongoing throughout the city set to add properties back to the tax rolls.
“Our development is up, people are coming. We’ve got something like 26 active restaurants in Glens Falls. That’s all within two blocks of city hall. Remember, the city of Glens Falls is only 4 square miles so, I couldn’t be more proud of the community. The development, our DRI which is over $49 million of development is all green lights. The building is going on hat will include 88 new apartments, new commercial space downtown, a new commercial kitchen, so, all of that together is building momentum,” said Collins.
Public comment on the budget will be taken through November 26th.