YONKERS, NY — As the global financial crisis continues, the City of Yonkers will join local governments from around the state and country that are trimming their budgets in the face of shrinking revenues.
Mayor Phil Amicone announced his plan today to cut millions of dollars in expenses from Yonkers'
Mayor Phil Amicone announced his plan today to cut millions of dollars in expenses from Yonkers'
Joined by Finance Commissioner James LaPerche, Schools
Superintendent Bernard Pierorazio, Deputy Mayor Bill Regan, City Council
President Chuck Lesnick, Councilmember Patricia McDow, and Councilmember Joan
Gronowski
news conference today addressing First Quarter financial data for Fiscal Year
2009 (Yonkers' fiscal year runs July 1 through June 30). As part of the budget
presentation, the mayor announced that the city faces a cumulative $16 million
budget gap for FY 2009 and detailed a series of difficult measures to reduce
the deficit.
Superintendent Bernard Pierorazio, Deputy Mayor Bill Regan, City Council
President Chuck Lesnick, Councilmember Patricia McDow, and Councilmember Joan
Gronowski
news conference today addressing First Quarter financial data for Fiscal Year
2009 (Yonkers' fiscal year runs July 1 through June 30). As part of the budget
presentation, the mayor announced that the city faces a cumulative $16 million
budget gap for FY 2009 and detailed a series of difficult measures to reduce
the deficit.
Non-Personnel Cuts
Totaling $1.6 Million
Totaling $1.6 Million
(All amounts are approximate for Fiscal Year 2009. Exact figures are detailed
in the enclosed reports.)
in the enclosed reports.)
* 75% across-the-board cut to "professional fees"
totaling $540,000 savings
totaling $540,000 savings
* Outside consultants
* Equipment maintenance contracts
* Mobile phone contracts
* 40% cut to "special projects" totaling $330,000
savings
savings
* Building demolition
* Special studies
* Training programs
* Special events (parades, festivals, holidays)
* Subsidies to community based organizations &
nonprofits
nonprofits
* 27% cut to various "supplies accounts" totaling
$218,000 savings
$218,000 savings
* Office supplies
* Equipment supplies
* Data processing
* Hardware
* Audio / visual
* Elimination of tuition / board / travel expenses totaling
$86,000 savings
$86,000 savings
* Elimination of internship programs totaling $90,000
* Take home vehicle reduction approximately $50,000 savings
* Cell phone reductions & renegotiated contract
resulting in $60,000 annual savings
resulting in $60,000 annual savings
* Discretionary contract expense account savings $370,000
Additional Deficit Closing Measures
* Freeze on purchasing
* Reopening union contracts (requires union support)
* Renegotiating vendor contracts
* Change or reduction in work hours (requires union support)
* Closing or limiting operating hours of facilities
* Cutting or eliminating nonessential programs
* Non-Personnel Board of Education Cuts Totaling $1.5
Million:
Million:
* Elimination of senior administrative positions producing
$250,000 in savings
$250,000 in savings
* Reduce OT/extra pay resulting in $250,000 savings
* Projected fuel oil savings of $500,000
* Reduce lunch fund subsidy of $100,000
* Freeze of purchasing supplies/textbooks resulting in
$400,000 savings
$400,000 savings
* Elimination of professional conference financed by general
fund – TBD
fund – TBD
* 2nd Round of Budget Cuts: Workforce Reductions by Year's
End
End
Nearly three-quarters of the municipal operating budget is
associated with labor including salaries and fringe benefits. Mayor Amicone
said it will be impossible to close the projected $16 million gap for the
current fiscal year without reducing labor costs substantially. Unfortunately,
he said, this means the city will be forced to make workforce reductions before
the end of the calendar year.
associated with labor including salaries and fringe benefits. Mayor Amicone
said it will be impossible to close the projected $16 million gap for the
current fiscal year without reducing labor costs substantially. Unfortunately,
he said, this means the city will be forced to make workforce reductions before
the end of the calendar year.
* 200 – 300 layoffs from all city departments
* Elimination of planned police academy class for 2009
* Expansion of the hiring freeze to include all positions
and departments
and departments
"When we proposed the budget for this fiscal year, we
presented a conservative spending plan that addressed the needs of Yonkers
businesses and residents through the continued operation and distribution of
services. However, as financial data from the first quarter has come in, it is
now obvious that our revenue and expense projections must be adjusted in order
to keep the city financially solvent," said Mayor Amicone.
presented a conservative spending plan that addressed the needs of Yonkers
businesses and residents through the continued operation and distribution of
services. However, as financial data from the first quarter has come in, it is
now obvious that our revenue and expense projections must be adjusted in order
to keep the city financially solvent," said Mayor Amicone.
"The gravity of the budget situation requires us to
make hard choices that will not be popular. The truth is that failing to take
these actions would only result in much harder times ahead. Without action, we
risk further damage to our economy, our quality of life and possibly a state
imposed financial control board. Be assured that my administration, including
all of our commissioners and department heads, will work diligently and in
cooperation with the City Council to minimize the impact of the current
financial crisis on our city and its residents."
make hard choices that will not be popular. The truth is that failing to take
these actions would only result in much harder times ahead. Without action, we
risk further damage to our economy, our quality of life and possibly a state
imposed financial control board. Be assured that my administration, including
all of our commissioners and department heads, will work diligently and in
cooperation with the City Council to minimize the impact of the current
financial crisis on our city and its residents."
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