Spano, a Democrat, says he made his budget to be lean and flexible, in case state and federal funding falls short. It increases property taxes by 2.68 percent, staying under the state tax cap for Yonkers. It contains no cuts to municipal services or the workforce, but it doesn’t add any major new positions or services, either.
Speaking with WAMC, Spano says the cost of city operations is going up, and there’s the broader economy to keep in mind.
“There’s the world economics, there’s a tariff war," he says. "It’s quite turbulent out there right now. And it's going to be that way at least for the foreseeable future. So, we need to be nimble, and we need to be able to change and make changes.”
Of course, Spano says he’s hopeful the state and federal budgets won’t cut funding to municipalities. He says Yonkers receives roughly $100 million in federal aid each year, and there’s “no way” the city could absorb a significant or total loss. Spano says his plan sets aside $12 million in buffer funds to cover any rising costs the city encounters.
“It’s not gonna be a remedy for all problems, but it shows that we’re doing the right thing," he explains. "We’re willing to pause as much as we can. We’re going to pause a lot of our capital projects moving forward, because why deal with the high cost of doing these things when they’re gonna be artificially high and interest rates are through the roof? So, we’re gonna have to muddle through. But we’re gonna make sure that police and fire and parks and sanitation and schools and our teachers — we’re gonna have to do everything we can to keep them steady.”
The budget plan further instructs city departments to freeze hiring, limit travel, and take “additional efficiency measures” until the trajectory of the economy becomes clear.
Councilmember Deana Robinson, a Democrat from the 1st District, says she’s still working through the details of the budget plan, but so far she agrees with the mayor’s direction.
“It’s kind of like a contingency budget…With the federal funding, we just don’t know, and that’s the God honest truth," she says. "But I support the fact that he wants to get the budget process started irregardless of what’s going on.”
Robinson says she agrees with the budget’s approach to the Yonkers Board of Education as well. Spano’s proposal includes $298 million for the BOE, including an additional $4.6 million for debt service relief, so the district can free up part of its budget for other costs.
“We’re gonna have an extra $4.6 million to give towards education, which makes me happy," she notes. "I have two kids in public schools. I’m a graduate of Yonkers public schools. So, of course we want our children to be well-funded.”
Spano says his budget, once again, absorbs the cost of the BOE’s administrative services — more than $10 million — and proposes $17 million for school construction in the city’s capital budget plan. The city recently announced plans to build a new school at the site of the former Mulford Gardens housing complex.
That said, Spano says the Yonkers City School District still faces a funding gap. He’s urging the state to approve changes to its Foundation Aid formula that he says would result in more than $22 million in additional state funding for the district.
“We have a lot of work to do, and that’s why I have asked the departments to be prepared to work with the city council, start the public hearings," he says. "And as the weeks come and go, we’ll see. We hope and expect there will be more clarity at the federal level, maybe a passed state budget, maybe good news for us."
Robinson says council members will host extensive hearings on the budget throughout May, with a final budget due June 1. The new fiscal year starts July 1.
