Finance Committee - Council Committee Meeting

This report provides a cash flow projection for the City of Buffalo and the Buffalo Board of Education for the fiscal year 2025-2026, with a focus on the period ending November 2025. The documents detail projected cash receipts and disbursements for both entities, highlighting the combined cash and investment balances throughout the year.

Key Financials for November 2025:

• City of Buffalo:
  • Beginning Cash & Investments: $56,373,000
  • Total Cash Receipts: $18,695,000
  • Total Cash Disbursements: $46,149,000
  • Ending Cash & Investments: $28,919,000
• Buffalo Board of Education:
  • Beginning Cash & Investments: $257,861,000
  • Total Cash Receipts: $81,700,000
  • Total Cash Disbursements: $115,845,000
  • Ending Cash & Investments: $223,716,000

The report indicates that while the Board of Education maintains a significantly larger cash balance, both entities are projected to experience a decrease in cash and investments from their beginning balances in November 2025. The combined projection shows a substantial negative cash flow for the month.

This report, the Fiscal Year 2025-2026 First Quarter GAP Report, analyzes the city's financial projections. The Administration projects a budgetary deficit of $2,295,078. However, the Comptroller's office projects a significantly larger deficit of $42,751,725. This discrepancy is largely due to the Comptroller's office forecasting lower revenues in categories like Occupancy Tax, Intergovernmental, Service Charges, Interest, and Miscellaneous, totaling a $20,981,347 difference. Conversely, the Comptroller anticipates higher receipts from Erie County sales tax and Licenses and Permits.

Expenditures are also projected to exceed the Administration's forecast by $19.5 million, attributed to under-budgeted Overtime, Fringe Benefits, Pension, and Legal Settlements. The report highlights that the City may not be able to fund its restricted, committed, or available fund balances, which historically act as a financial cushion. Furthermore, the Available Fund Balance is not in compliance with the City's policy requiring at least thirty days of prior year expenditures to be set aside. The Comptroller's office is committed to providing independent oversight.

The City of Buffalo's Popular Annual Financial Report (PAFR) for the fiscal year ending June 30, 2025, highlights significant fiscal challenges. The city ended FY 2024-2025 with an operational deficit of $14.8 million. When excluding $39.5 million in ARPA funds used for operations, the underlying shortfall increases to $54.3 million, indicating persistent structural issues as federal stimulus funds expire.

Key expenditure areas exceeded budgets, including overtime costs ($17.1 million over budget), duty disability expenses ($8.7 million over budget), and judgments/settlements ($15.1 million over budget). Health insurance costs were also $14.9 million over budget.

The Solid Waste and Recycling Fund incurred a $4.9 million deficit, bringing cumulative losses to $28.3 million owed to the General Fund. The City's total fund balance declined from $117.8 million to $103.0 million.

Despite these pressures, the Department of Audit and Control received the GFOA's “Outstanding Achievement in Popular Annual Financial Reporting” award for the eleventh consecutive year. The report emphasizes the need for continued attention to long-term financial planning and structural budget challenges to ensure fiscal sustainability.

The Buffalo Common Council is considering a request to authorize the Department of Public Works, Parks and Streets (DPW) to enter into an agreement with Marina Management Group, LLC. This agreement is for professional services related to the operation of recreational, marina, and hospitality facilities at the Erie Basin Marina. Marina Management Group, LLC was selected through a DPW Request for Qualifications (RFQ) and scoring process. The item was referred to the Finance Committee on January 6, 2026, and was Tabled by the Common Council on January 13, 2026, with the next meeting scheduled for January 27, 2026.

The City of Buffalo Transition and Transformation Fund is a new initiative established at the Community Foundation for Greater Buffalo to address the city's significant financial hardship. This fund will receive contributions from philanthropic and corporate donors to support the City of Buffalo with key objectives around efficiency, innovation, and talent. Mayor-elect Sean Ryan initiated this collaborative fund due to severe fiscal constraints and a long-standing lack of investment in technology, equipment, operating systems, and workforce.

Requests for funds will be made in writing by the Mayor to the Community Foundation and will be considered based on the following focus areas:

• Efficiency: Engaging professional consultants to evaluate operating systems, workflows, and data management to recommend improvements.
• Innovation: Supporting the exploration and piloting of new, creative, and best-practice models to improve city services.
• Talent: Assisting with the recruitment and retention of top talent for essential government positions.
• Other: Addressing other identified needs that strengthen city services, benefit the community, or lessen government burdens.

The fund aims to provide necessary capital during a critical time, with the expectation that city officials will ensure the resources make a notable impact through collaboration and partnership.

The Buffalo Common Council is considering a request from the Charter Revision Commission for an appropriation of $100,000. This funding is intended to support the Commission's duties as outlined in Charter Section 18-38. Anticipated expenses include legal counsel for research and drafting proposed Charter changes, as well as costs for a city-wide mailer, printing, advertisements, and community surveys. The Commission aims to utilize in-house and in-kind resources to minimize the use of appropriated funds. For context, the 1999 Charter Revision Commission was appropriated $140,000 for similar expenses.

The City of Buffalo's Annual Comprehensive Financial Report for Fiscal Year 2024-2025 reveals a complex financial picture with both improvements and significant challenges. The City's total primary government net position increased by $81,283,000 to $(589,873,000), primarily due to an increase in governmental activities' net position by $89,603,000, while business-type activities saw a decrease of $8,320,000.

Financial Performance & Trends:

• Governmental activities' total revenues increased by $20,516,000, driven by land sales and various grants. Key revenue sources were property taxes (22.7%), state aid (22.4%), and operating grants (17.9%).
• Total expenses for governmental activities decreased by $6,822,000, despite increases in public safety and American Rescue Plan Act (ARPA) projects, largely due to lower general government support costs from prior year claims settlements. Public safety remains the largest expense category at 49.6%.
• The General Fund's committed Emergency Stabilization Fund decreased by $20,672,650 from FY2024 to $42,342,468, falling short of the City Charter's 30-day expenditure minimum, indicating non-compliance with policy.

Debt and Liabilities:

• The City's bond ratings remain A1/A+/A from Moody's, S&P, and Fitch, respectively, but S&P and Fitch maintain a Negative outlook.
• Total general obligation bonded debt outstanding is $157,185,000, with Water Authority revenue bonds at $134,195,000.
• Noncurrent liabilities increased by $61,289,000, mainly due to a $68,173,000 increase in Other Postemployment Benefits (OPEB) liabilities and a $56,146,000 increase in net pension liability, partially offset by a $46,185,000 decrease in bonds payable.

Budgetary & Future Outlook:

• The General Fund's actual revenues exceeded the final budget by $56,985,000 (due to interest earnings and ARPA funds), but actual expenditures were $58,935,000 higher than budgeted, primarily in public safety, employee benefits, and ARPA transfers out.
• Key operational priorities for FY2025-2026 include the sale of Parking Ramps and Rapp Lots, implementation of the Occupancy Tax, reauthorization of the Tribal Compact Agreement, and developing a plan to replenish the committed and available fund balances.
• The Solid Waste and Recycling Fund continues to operate with a deficit of $(64,269,609), with no formal plan for remedy beyond anticipated future rate increases or General Fund subsidies. Litigation claims are estimated at $13,200,000, with possible additional impacts ranging from $14,000,000 to $44,000,000.

This report provides the Buffalo City School District's First Quarter Financial Report for the 2025-2026 fiscal year, covering July 1, 2025, to September 30, 2025. The district is projecting a $78.8 million deficit for the full year, consistent with the original budget. Significant financial items include a projected reduction in cash balances from $402 million to $315 million by June 30, 2026. The report also notes that State Output reports for revenue projections will not be available until mid-November. The Superintendent is implementing cost-saving measures, including cutting 8 central office FTEs and planning for further reductions in the 26-27 fiscal year, such as school closings and program cuts. The report details expenditures across various funds, including the General Fund, Grants Fund, and Food Service Fund, and provides employment level data and long-term enrollment trends.

This item is a Comptroller's response to the Fiscal Year 2025-2026 Recommended Capital Budget. The Comptroller, Carol Burns, has identified significant discrepancies between the Acting Mayor's proposed capital budget of $94,060,056.35 and the city's debt cap limit of $28,000,000.00, as advised in her August 1, 2025, estimate report. The difference represents an additional capital debt burden of $66,060,056.35, which the Comptroller states will be challenging to absorb annually, requiring more property tax revenue for future debt payments.

Key Concerns Raised by the Comptroller:

• Budget Exceeds Debt Cap: The Acting Mayor's request is $66,060,056.35 higher than the recommended debt cap.
• Increased Annual Debt Cost: An extra $8,714,780.87 annually will be added to the city's total debt service.
• Charter Non-Compliance: The Recommended Capital Budget was submitted late (November 7, 2025, instead of by November 1) and lacks mandated information, such as estimated costs, priority order, self-sustaining project identification, grant recovery amounts, and exclusion from debt limitations.
• Project Readiness: An estimated $17.8 million in projects are not "shovel ready," requiring significant additional time for planning, engineering, and permitting, potentially delaying construction by a year or more.
• Financial Health: The city faces numerous financial challenges, including projected revenue shortfalls in occupancy tax, interest, and fines; significant overtime costs; potential revenue shortages from a lack of a tribal compact and uncertainty in selling parking ramps; a deficit of $14,768,426 at the end of FY 2024-2025; and underfunded or non-existent fund balances.

The Common Council referred this to the Finance Committee on November 25, 2025, and it has been tabled multiple times, with the next meeting scheduled for January 27, 2026.

This item, initiated by Council Member Mitchell P. Nowakowski, requests a detailed report from the Commissioner of Administration, Finance, Policy, and Urban Affairs regarding the performance and potential reallocation of American Rescue Plan Act (ARPA) funds. Following a Finance Committee update on November 18, 2025, the Council seeks a list of projects and subrecipient agencies that are not meeting their spending or performance milestones. The request also asks for an anticipated timeline for the finalization of this report, the deadline for necessary funding reallocations to meet federal requirements, and the administration's proposed process for selecting new recipients for unspent funds. This information is crucial for ensuring the City meets the December 2026 federal expenditure deadline and allows the Council to support timely funding adjustments.

This resolution, sponsored by Councilmembers Halton-Pope and Rivera, requests the Office of Administration and Finance to conduct a comprehensive feasibility study for creating a progressive tax on privately owned vacant land and buildings in Buffalo. The initiative aims to address challenges posed by vacant properties, such as blight, public safety concerns, and hindered economic development, which place a financial burden on taxpayers.

The study will evaluate potential tax structures (potentially increasing with vacancy length or property condition), eligibility criteria, definitions, revenue projections, cost impacts, and administrative requirements. It will also identify necessary amendments to the City Code, assessment practices, or operational processes.

The Office of Administration and Finance is directed to submit its report to the Common Council within 30 days of the resolution's adoption for further legislative consideration. The resolution was initially adopted by the Common Council on November 25, 2025, and has since been tabled by the Finance Committee multiple times, with the next discussion scheduled for January 27, 2026.

This resolution, sponsored by Councilmembers Nowakowski, Wyatt, Halton-Pope, Rivera, and Everhart, respectfully requests the Mayor's Office of Strategic Planning and the Department of Public Works to provide the Common Council with the full results of Request for Proposals (RFP) No. 2024-2C. This RFP, issued on May 24, 2024, sought a professional consulting firm to act as the city's representative agent for the acquisition of the municipal street lighting system and its subsequent LED conversion.

Proposals were due on June 7, 2024, but no public update has been provided to the Council. The resolution highlights the importance of streetlight modernization for public safety, climate resilience, and equitable neighborhood investment, referencing a recent fatal shooting in the Chippewa entertainment district and subsequent community concerns about inadequate lighting. The lack of an update has hindered the Council's oversight capabilities. The resolution specifically asks for the list of respondents, evaluation metrics, and any committee determinations, as well as a general project status update.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt, formally requests that the Administration and the Department of Finance allocate sufficient funding for the Charter Review Commission. The Commission's mission is to conduct a comprehensive review of the City Charter to ensure it aligns with current needs and values, while promoting transparency, accountability, and efficiency. The resolution highlights the need for funding to support community outreach, public education materials, translation services, staffing, and logistical expenses to ensure equitable participation and an inclusive review process. The Common Council initially adopted this resolution on 11/12/25, but it has since been tabled multiple times by the Finance Committee, with the latest status indicating it was tabled on 01/13/26 and is next scheduled for discussion on 01/27/2026.

This is an informational report from the City of Buffalo's Department of Audit and Control detailing city payroll for the Fiscal Year Ended June 30, 2025. The report indicates that city-wide overtime (OT) expense increased by 6% ($2.5M) from FY 2024 to FY 2025, reaching $43.6M. Total payroll expense saw a 7.5% increase, rising from $257M in FY 2024 to $276.1M in FY 2025. Overtime hours increased by 2%, while base hours worked increased by 2.9%. Notably, actual overtime exceeded the budgeted amount by 80% in FY 2025. The report also highlights that pay growth for many employees, including white-collar workers, has not kept pace with the 18.2% inflation rate since June 2021, while Police and Firefighters have seen significant base salary increases.

Council Member Mitchell P. Nowakowski has initiated a discussion regarding anticipated healthcare cost increases for the City of Buffalo. As the city is self-insured for employee and retiree health benefits, this item seeks to understand the city's exposure to rising costs and premium volatility. The request asks for an analysis of trends, potential impacts on the upcoming fiscal year's budget, and proactive steps the city can take to mitigate or prepare for these increases. The Finance Committee has been discussing this matter since October 2025, with the item being repeatedly tabled.

The Citizens Planning Council (CPC) has submitted its Report and Recommended 2026 Capital Budget and 2027-2030 Capital Improvement Program (CIP) to the Mayor. The report details 115 project/funding requests totaling $179,657,557 from the Common Council, City Departments, cultural/educational organizations, and Buffalo Public Schools.

2026 Capital Budget Recommendations: The CPC recommends a $28,000,000 bond sale for 2026, matching the Comptroller's advised maximum. Key allocations include:

• Buffalo Fire Department: $3,600,000 for new vehicles (aerial platform/ladder truck, engines/pumpers) and $1,600,000 for building improvements (emergency generators, facility upgrades).
• Buffalo Police Department: $1,925,000 for new vehicles (Bearcat, marked/unmarked) and $2,360,000 for facility improvements (boiler replacement at Dillon HQ, district facility upgrades, Seneca Street Garage).
• DPW - Engineering: $5,583,044.05 for citywide infrastructure improvements (roadways, sidewalks, ADA ramps).
• DPW - Parks: $2,600,000 for swimming complex and pool facility improvements at Houghton-Stachowski Park and Riverside Park (20% grant match), $1,000,000 for citywide tree removal/planting, and $500,000 for new vehicles/equipment.
• Cultural & Educational Organizations: Significant funding for roof replacements at Shea's Buffalo Theatre ($1,140,000) and Cazenovia Park Ice Rink ($1,050,000), and $1,105,000 for the Buffalo Zoo perimeter fence.
• Buffalo Public Schools: All $88,600,000 in BPS projects are recommended for inclusion, as they are 97% state-aided, meaning the bonds are repaid by NYSED and the school district, not the City of Buffalo. Projects include LED lighting, HVAC, roof replacements, and a $25,000,000 move to Buckham Hall at Buffalo State University.

2027-2030 Capital Improvement Program: The CPC also provided recommendations for future years, with total advised capital debt ranging from $29,000,000 to $36,000,000 annually.

Process Improvements: The CPC urges greater collaboration on setting annual bond sale values, evaluating older projects for bond repayment, and considering selling city-owned buildings operated by cultural organizations with independent financial resources.

Current Status: The item was referred to the Finance Committee on October 14, 2025, and has been TABLED multiple times, with the next review scheduled for January 27, 2026.

This agenda item concerns a letter from the Buffalo Police Benevolent Association (PBA) President, John Davidson, to Council Member Mitch Nowakowski, highlighting a critical staffing and leadership crisis within the Buffalo Police Department. The PBA warns of a potential "catastrophic and irretrievable leadership exodus" primarily driven by the expiration of a Memorandum of Agreement in June 2026, which affects current healthcare coverage for senior members.

Key Concerns Raised:

• Senior Retirements: Approximately 74 senior members are projected to retire by June 30, 2026, to retain benefits. This group includes 27 Police Officers, 18 Detectives, 20 Lieutenants, 7 Captains, and 1 Inspector.
• Lieutenant Shortage: The department faces a significant loss of 20 Lieutenants, bringing the total down to 72 against a contractual minimum of 90. With only 7 officers on the eligible promotion list, this will create a supervision void.
• Patrol Officer Deficit: Retirements will also decimate patrol officer numbers, potentially falling 23 officers below the contractual minimum of 450. The department hired only 12 cadets in 2025, which may not be enough to cover losses.
• Overtime Increase: The projected staffing shortages will inevitably lead to increased overtime costs.

The PBA urges an extension of the Memorandum of Agreement (originally signed in October 2018) to provide time for strategic testing, training, and promotion to mitigate these issues. The letter emphasizes the long-term, devastating impact on the city and its residents if this leadership void is not addressed.

The Comptroller's office is requesting authorization to use the Committed Fund Balance (Emergency Stabilization Fund), also known as the Rainy-Day Fund, to cover an operational deficit in Fiscal Year 2024-2025. This deficit arises from overestimated revenues (occupancy tax, service charges, fines) and underbudgeted expenditures (overtime, legal settlements). The projected shortfall exceeds available funds in the Assigned and Unassigned Fund Balance accounts, which are currently at zero. This action is in accordance with City Charter § 20-17-3, requiring Comptroller's submission to the Council and Mayor for approval. The Comptroller highlighted concerns about the City's long-term financial projections due to increasing fixed costs like pensions, OPEB, and debt service, which now represent approximately one-third of the annual budget. The Finance Committee has tabled this item multiple times since October 2025.

This resolution, initiated by Council Member Leah Halton-Pope, calls for the Buffalo Urban Renewal Agency (BURA) to provide a comprehensive spending update on federal funds administered by the agency. BURA manages the Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME), Emergency Solutions Grant (ESG), and Housing Opportunities for Persons with AIDS (HOPWA) programs. The resolution requests a detailed written report within sixty (60) days covering:

• Funding Sources and Totals: Total funds received from CDBG, HOME, ESG, and HOPWA over the last three fiscal years, plus any additional grants.
• District-Level Expenditures: A breakdown of spending by Council District for each program and funding source over the past three years.
• Program-Specific Details: Amounts allocated, expended, and remaining for specific programs including the Buffalo Lead Program, Down Payment and Closing Cost Assistance Program, Emergency Assistance Loan Program, Owner-Occupied Home Repair Program, Roof Program, Target Focus Area Program, Vacant Rental Program, 50/50 Program, and the Accessory Dwelling Unit (ADU) Program.
• Performance and Outcomes: The number of households served and projects completed for each program, with available geographic and demographic data.
• Unspent Funds and Spending Plan: The current balance of unspent funds and a proposed plan for their expenditure, along with a forward-looking funding plan for the next fiscal year.

Additionally, BURA is requested to present its findings and spending plan to the Community Development Committee and make the information publicly available. The resolution was adopted by the Common Council on October 14, 2025, but has been tabled multiple times by the Finance Committee, with the next scheduled meeting on January 27, 2026.

This resolution, adopted by the Buffalo Water Board on September 10, 2025, amends the schedule of water rates, fees, and charges for all persons and properties served by the Buffalo water system, with an effective date of October 1, 2025. However, the Common Council's Finance Committee has repeatedly tabled this item since September 30, 2025, indicating it has not yet been approved by the Council and is scheduled for further review on January 27, 2026.

Purpose of Changes:
The Buffalo Water Board states these revisions are necessary to ensure the water system remains self-sustaining, covering increased operational expenses, capital programs, indebtedness, and employee compensation.

Key Rate Adjustments:
The updated schedule includes new rates for both non-metered and metered services, as well as various miscellaneous fees.

• Non-Metered Examples: A standard bathtub charge is $45.00, while a lawn sprinkler connection is $222.31 per season. Quarterly Capacity and Infrastructure Flat Rate Charges are $19.07 and $15.00, respectively.
• Metered Examples: Monthly consumption rates are $29.03 per 1,000 cu.ft. for the first 10,000 cu.ft., increasing to $31.92 per 1,000 cu.ft. thereafter. A 5/8-inch meter has a monthly capacity charge of $21.15 and an infrastructure charge of $5.00.
• Miscellaneous Fees: A standard Turn On/Off Service Fee is $48.38. Failure to have a hydrant permit incurs a $2,542.38 fee, and a $2.00 convenience fee will be added to all credit/debit card or ACH transactions.

Affordability and Senior Programs:
The resolution establishes a Residential Consumer Affordable Water Program, offering annual credits of up to $153.00 for low-income consumers and $192.00 for very low-income consumers, based on HUD income limits. Qualified senior citizens also receive reduced rates across many services (e.g., a bathtub charge of $28.98 compared to the regular $45.00).

Future Adjustments:
The schedule includes a mechanism for annual rate adjustments, effective July 1 each year, based on changes in the Consumer Price Index Northeast Urban.

Environmental Review:
As the lead agency under SEQRA, the Buffalo Water Board issued a negative declaration, determining that the proposed rate adjustments will not result in any significant adverse environmental impacts.

This resolution, sponsored by Councilmembers Halton-Pope and Bollman, requests comprehensive reports and testimony regarding the City of Buffalo's fines, fees, and collection practices. The Council is concerned about the effectiveness of current collection methods, the percentage of fines and fees successfully collected, and the management of contracts with collection agencies.

Key Requests:

• Director of Treasury Report: To detail all collections to date, the lifecycle of arrears, the percentage of fines/fees collected versus issued, and information on current collection agency contracts.
• Quarterly Collection Reports: To review collections throughout the year.
• Departmental Reports: Each department issuing fines and fees must report the number and amount of fines issued in the past fiscal year within 30 days of the resolution's passage.
• Bureau of Administrative Adjudication Testimony: To explain plea determination processes, the rationale for fine reductions through plea agreements, and their impact on overall collections.

The resolution aims to increase transparency and accountability in managing city revenue and ensuring responsible resource utilization. The item has been tabled multiple times by the Finance Committee since September 30, 2025, with the next meeting scheduled for January 27, 2026.

S&P Global Ratings has revised Buffalo, NY's General Obligation Debt Rating Outlook to Negative from Stable, while affirming the long-term rating at 'A+'. This revision is due to the city's financial pressures and a significant drawdown in reserves during fiscal year 2024, which reduced financial flexibility. The city faces a projected budget gap of over $50 million in fiscal year 2026, exacerbated by the phasing out of federal stimulus funds and rising operating expenses.

Key Financial Concerns:

• Reserve Drawdown: A $31.6 million reduction in available reserves in fiscal 2024, largely due to increased lawsuit settlement payouts (from $4.3 million to $44 million).
• Budget Gap: A projected gap of over $50 million for fiscal 2026.
• One-Time Measures: Reliance on one-time solutions, such as the potential sale of city-owned parking garages to a new parking authority for an estimated $45 million, to close the fiscal 2026 gap.
• Rising Expenses: Operating expenses have outpaced revenue growth, partly due to the city being self-insured.
• Long-Term Liabilities: A substantial $1.2 billion Other Postemployment Benefits (OPEB) liability remains a significant budgetary pressure.

Mitigation Efforts & Outlook:

Management has implemented an 8% tax levy increase and a new hotel occupancy tax for fiscal 2026. The negative outlook indicates at least a one-in-three chance of a rating downgrade if the city fails to restore balanced financial operations and maintain reserves commensurate with similarly rated peers. The city aims to achieve structural balance through revenue enhancements and expense reductions.

This agenda item, 25-1405, concerns a response from the Comptroller to the Mayor regarding the City of Buffalo's Capital Bond process. The Comptroller, Barbara Miller-Williams, has stated her intention to proceed with issuing bonds within a $28 million capital debt cap and an additional $7 million Bond Anticipation Note (BAN). This position is based on the Fiscal Year 2024-2025 Comptroller's Estimate and Report, which established the debt cap to safeguard the City's credit rating and financial stability. The Mayor's office submitted a Capital Budget totaling $110 million, which significantly exceeded the established cap. Despite multiple requests from the Comptroller's office for a revised and prioritized list of projects that falls within the $28 million cap, no such list has been provided by the Mayor's Administration or Buffalo Public Schools. The Comptroller asserts she is not authorized to select projects and relies on the cooperation of her partners in government. The item has been repeatedly tabled by the Finance Committee since September 2025.

This report from the Buffalo Comptroller outlines the city's proposed Five-Year Capital Debt Plan for 2026-2030. It details the city's current debt capacity, adherence to its Capital Debt Management Policy, and provides an overview of capital project accounts. The report indicates the city is well within its debt-ceiling limit, with a net indebtedness of $119.6 million as of July 1, 2025, and a debt-contracting margin of $1.63 billion. The plan projects maximum borrowing amounts for capital projects, with caps ranging from $28 million in 2026 to $36 million in 2030. The report also highlights that the City Charter's requirement for bi-annual progress reports on capital projects has not been met, potentially hindering informed decision-making. Additionally, it notes that non-capital expenditures should no longer be funded by bond proceeds and should be budgeted from the General Fund to avoid interest costs and address auditor concerns.

This is an informational report regarding Fitch Ratings 2025 for the City of Buffalo. The document indicates that the item has been tabled multiple times by the Finance Committee, with the latest status showing it was tabled on December 30, 2025, and is next scheduled for consideration on January 13, 2026. The attached Fitch Ratings report itself appears to be a detailed financial analysis, but the specific content of the rating or its implications are not detailed in the provided agenda item information.

This report details the City of Buffalo's utilization of $331,356,932.00 in State and Local Fiscal Recovery Funds (SLFRF), also known as American Rescue Plan Act (ARPA) funds, as of Quarter 2 2025 (April-June). The funds have been allocated across 35 projects, with $279,716,891.04 expended to date.

Key Allocations & Projects:

• Revenue Replacement: Over $167.2 million has been used to replace lost revenues, primarily supporting the Buffalo Police and Fire Departments. The city experienced estimated revenue losses of $95.9M in 2020, $51.6M in 2021, $39.3M in 2022, and $77.4M in 2023 due to the pandemic.
• Premium Pay: $11.03 million was fully expended to provide premium pay to 2,754 essential public sector employees who worked in-person during the COVID-19 pandemic.
• Infrastructure: Significant investments include $10 million for the ROLL program to replace lead water service lines in at least **1,000

Note: This summary was recovered from a truncated response.

This item, 25-1493, concerns a letter from Council Member Mitchell P. Nowakowski to City Comptroller Barbara Miller-Williams regarding the 2025 Capital Budget. The Council approved a $110 million capital budget, significantly exceeding the Comptroller's recommended debt limit of $28 million. The Comptroller has reportedly refused to issue bond anticipation notes (BANs) for approved projects, citing the recommended limit. Council Member Nowakowski asserts that the Comptroller's limit is advisory, not binding, according to the City Charter and State law, and that the Comptroller lacks a "fiscal veto" power over the Council's budget decisions. The delay in issuing BANs has put critical projects behind schedule and risks missing the 2025 construction season. The letter urges the Comptroller to reconsider and issue the necessary BANs to implement the budget.

This resolution, initiated by Council Member Halton-Pope and sponsored by Chair Nowakowski, respectfully requests the New York State Legislature to introduce and enact legislation reinstating the Buffalo Joint Schools Construction Board (JSCB). The JSCB was originally established to oversee, finance, and manage the planning, design, and construction of public school facilities in Buffalo. The resolution states that since the JSCB's suspension, the City and Buffalo Public Schools have faced challenges in coordinating capital planning and managing large-scale school facility projects effectively. Reinstatement is proposed to provide a proven governance and financing framework, enhance transparency, ensure projects meet modern educational and safety standards, and potentially leverage additional financing mechanisms to reduce the burden on local taxpayers while maximizing state and federal funding opportunities. The resolution also requests that copies be sent to various state and local officials, including the Governor, legislative leaders, the Superintendent of Buffalo Public Schools, the Buffalo Board of Education, and the Mayor of the City of Buffalo.

This resolution, initiated by Council Member Halton-Pope and sponsored by Finance Committee Chair Nowakowski, formally requests the Administration to schedule and conduct mid-term budget hearings. These hearings, to be held during the first week of January 2026, will focus on reviewing the City of Buffalo's appropriations and revenue performance for the period of July 1, 2025, through January 1, 2026. All City departments are required to submit detailed reports on their revenues and expenditures, including explanations for any significant variances from the adopted budget. The Common Council, exercising its fiscal oversight authority under City Charter § 3-7(o), will use the information gathered to assess the city's current financial standing, evaluate spending and revenue trends, and ensure transparency and accountability to residents.

This item concerns the City of Buffalo's Discretionary Fund Policy for Fiscal Year 2026, initiated by Delano Dowell from the Department of Audit and Control. The policy outlines guidelines for the use of "Neighborhood Initiatives" accounts, which are intended for expenses benefiting the public, such as supporting community groups and events to enhance quality of life.

Key Policy Points:

• Contracts: Must be dual-executed, approved by the City's Law Department, and include proof of insurance, permits, licenses, IRS designations, a scope of services, operating budget, and a conflict of interest statement.
• Recipient Limits: Contracts to any single recipient cannot exceed $50,000, including amendments. No exceptions will be granted.
• Reporting: Recipients must submit a discretionary funding grant budget and expenditure summary report with invoices and proof of payment to the respective Council Member, who then forwards it to the Comptroller. Failure to comply before new requests or fiscal year close will result in no additional funding.
• Fund Rollover: Unencumbered discretionary funds will not roll over to the next fiscal year and will be returned to the General Fund.
• Compliance: Receipts must be submitted within 30 days of expenditure. The Comptroller's Office may audit funds not closed within a year of receiving funding. Recipients must attend an annual compliance meeting.
• Prohibitions: Funds cannot be awarded to organizations employing elected officials, their staff, or family members in decision-making roles. Grants are for Not-For-Profit Organizations located within Buffalo and cannot be the sole significant funding source. Loan programs, scholarships, and fundraisers are not eligible.
• Procurement: Goods above $10,000 require informal bidding. Procurement over $20,000 must follow the City's standard process. Capital purchases are prohibited effective July 1, 2025.
• Public Officers Law: The policy references Public Officers Law §73-b, prohibiting elected officials or candidates from appearing in advertisements paid for with city funds.
• Unallowable Costs: Include sales tax, tickets for social fundraising events, patronage advertisements, and rehabilitation/improvement to private property structures. Snow removal, lawn mowing, and residential/commercial repairs are also unallowable.

The item has been tabled multiple times by the Finance Committee since July 2025, with the latest status indicating it was tabled on January 13, 2026, and next scheduled for January 27, 2026.

The Buffalo Arts Commission is requesting a total budget of $285,000 for the 2025-2026 fiscal year, allocated across three key areas:

• Cataloguing, care, and maintenance of the City Art Collection: $25,000 to hire an intern for clerical tasks and to procure archival supplies for digitizing and reconstructing records. This addresses the current precarious storage situation of artworks and records in City Hall.
• Buffalo AKG Art Museum Public Art Initiative: $60,000 to continue a program that has funded over 60 public art works by local artists since 2013, leveraging significant private funding and enhancing the city's cultural tourism.
• Arts and Cultural Funding Advisory Committee: $200,000 to reinstate the committee's review process for cultural funding, ensuring proper expenditure of City funds and aligning with the City Charter.

The request has been with the Finance Committee since July 2025 and was last tabled on January 13, 2026.

This resolution, sponsored by Councilmembers Everhart, Rivera, and Halton-Pope, requests a comprehensive analysis of all city service rates and fees paid by Buffalo residents. The Buffalo Common Council aims to ensure transparency, accountability, and affordability in city services. A key concern highlighted is that the Buffalo Sewer Authority has not increased its rates in over 18 years, raising questions about the consistency of rate adjustments across other city services.

The analysis will be conducted by the Office of Finance and Administration in collaboration with departments including Public Works, Buffalo Sewer Authority, Buffalo Water Authority, and Permit and Inspection Services. The report must detail:

• Each fee or rate charged.
• The last date of increase for each.
• The justification for each rate level.
• Any proposed increases within the next two fiscal years.
• Comparisons to similar fees in peer cities.

The report is due to the Common Council within 45 days of the resolution's adoption.

This resolution, initiated by Council Member Leah Halton-Pope, reaffirms and enforces the City of Buffalo's existing 1% for Public Art requirement (Chapter 409 of the City Code). This requirement mandates that capital improvement projects with construction and design costs of $1,000,000 or more must allocate at least 1% of the total project cost for public art. The resolution clarifies implementation policies:

• Permanent Compliance: The Department of Public Works (DPW) must notify the Buffalo Arts Commission for projects exceeding $1M to initiate the art review process.
• Waiver Procedure: Waivers require a separate resolution, a written justification deeming the project "not appropriate" for public art, and public review.
• Annual Arts Allocation: The Buffalo Arts Commission can request funding equal to or exceeding 1% of the projected capital improvement budget for public art initiatives.
• Reporting and Oversight: The City Comptroller is requested to instruct Audit and Control to provide quarterly reports on projects subject to the 1% requirement, including amounts allocated and expended for public art, and any waivers granted. The Arts Commission will submit an annual report on project status and impact.

The resolution was adopted by the Common Council on July 22, 2025, but has been tabled multiple times by the Finance Committee, with the latest scheduled meeting on January 13, 2026, and a subsequent meeting set for January 27, 2026.

This document outlines the Annual Audit Plan for Fiscal Year 2026 for the City of Buffalo's Department of Audit and Control. The plan details the department's mission to ensure efficient, effective, and transparent government finances through independent audits. Audits will be selected based on a risk assessment that considers financial and control risks across various city departments. Key areas identified as high-risk include Fringe Benefits, Police, and Fire departments. The plan also lists potential audits for FY2026, such as internal controls over seized funds at the BPD and ARPA funds, and notes audits required by the City Charter. The department has expanded its workforce, aiming to increase audit capacity.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt and initiated by Pedro Gonzalez-Ortiz, requests a detailed financial report from the Buffalo Sewer Authority (BSA). The Common Council seeks this information due to recent BSA presentations on operations, potential rate increases, and the sustainability of customer assistance programs. Specifically, the Council requires:

• The number of Buffalo households currently benefiting from BSA's senior and low-income discount programs.
• A clear breakdown of the proposed rate increase, detailing the average impact on residents' sewer bills.
• The BSA's contingency plan for potential reductions or elimination of federal funding for discount programs, including strategies to mitigate future funding gaps without unduly burdening ratepayers.

The resolution directs the City Clerk to submit this request to the BSA's Executive Director and board, asking them to appear before the Council to provide this information. The item has a history of being tabled multiple times by the Finance Committee since June 2025, with the next meeting scheduled for January 27, 2026.

This item concerns the Buffalo Sewer Authority's 2025-2026 Budget. The budget was approved by the Buffalo Sewer Authority Board on April 9, 2025, and is available on their website. The Common Council referred this budget to the Finance Committee on June 10, 2025, and it has been subsequently tabled multiple times, with the latest record showing it was tabled on January 13, 2026, with the next meeting scheduled for January 27, 2026. No specific financial details or breakdowns of the budget are provided in the attached documents, only the notification of its availability and its referral/tabling history.

This resolution, sponsored by Finance Committee Members Halton-Pope and Everhart, urges the City of Buffalo Administration to develop and implement a Property Tax Circuit Breaker Program. The program aims to provide relief to low-income, elderly, and long-standing homeowners who are disproportionately impacted by rising property taxes, such as the proposed 8% increase in the 2025-2026 Executive Budget. The resolution calls for collaboration with the New York State Legislature to secure necessary resources and legislative authority. The Council’s Finance Committee is tasked with evaluating models from other jurisdictions and reporting back within 60 days with recommendations for a pilot program. Copies of the resolution will be sent to the Mayor's Office and the Western New York Delegation of State Legislators. The resolution was adopted by the Common Council on 05/27/25 and 06/10/25, and recommended for adoption by the Finance Committee on 06/03/25. It has since been tabled multiple times by the Finance Committee, with the latest tabling on 12/30/25 indicating a next meeting date of 01/13/26.

This report from the Comptroller's office analyzes the city's fiscal health for the third quarter of Fiscal Year 2024-2025. While the Administration projects a budgetary surplus of $2,081,163, the Comptroller's office projects a significant budgetary deficit of $7,351,438.

Key Discrepancies:

• Revenues: The Comptroller projects $893,273 less than the Administration, primarily due to a lower projection for the Tribal Compact Agreement (lack of a $5.4 million advancement payment). However, higher receipts are anticipated from Erie County sales tax and prescription rebates.
• Expenditures: The Comptroller projects $8,539,328 more than the Administration, largely due to an unbudgeted legal settlement of $6.5 million.

Fiscal Concerns:

• The City is projected to have a $0 balance in Unassigned Fund Balance, which is insufficient and not in compliance with the City's Fund Balance Policy. This fund balance historically served as a financial cushion.
• The Comptroller's office is not privy to all internal budgetary decisions, potentially impacting year-end results.

This item concerns a letter from Majority Leader Leah Halton-Pope proposing her co-stewardship of the City's Grants-In-Aid (GIA) for Cultural & Anti-Violence and Youth Programs for Fiscal Years 2024-2025 and 2025-2026. The proposal outlines specific funding allocations for these years:

FY2024-2025 Total GIA Resources: $403,000

• Cultural & Anti-Violence GIA: $400,000
• Youth Program GIA: $3,000

FY2024-2025 Proposed Allocations:

• City Poet Laureate: $82,625
• Frontline Arts Restoration: $200,000
• Citywide Youth Arts Contest: $110,000
• City Historian Support: $10,375

FY2025-2026 Proposed Allocations: $400,000

• City Poet Laureate (Renewal): $82,625
• City Historian Support: $50,000
• Citywide Youth Arts Contest (Renewal): $110,000
• Frontline Arts, Cultural & Anti-Violence Programming: $267,375

Halton-Pope also recommends prioritizing enrollment of Mayor's Summer Youth (MSY) participants in the City Poet Laureate program to offset stipends and reduce GIA costs. The item has been repeatedly tabled by the Finance Committee since May 2025, with the latest status indicating it was tabled on January 13, 2026, and next scheduled for January 27, 2026.

This agenda item, 25-948, concerns oversight of the City of Buffalo's use of State and Local Fiscal Recovery Funds (SLFRF), part of the American Rescue Plan Act (ARPA). Majority Leader Leah Halton-Pope has submitted a letter to Commissioner Raymour Nosworthy requesting detailed responses by May 27, 2025, regarding the city's management of over $167 million allocated primarily under revenue replacement.

The letter raises concerns across several key areas:

• Strategic Use and Oversight: Questions the status of fund drawdowns, the strategy to accelerate underperforming projects, and the lack of project performance evaluations and Key Performance Indicators (KPIs).
• Revenue Replacement Accountability: Seeks a breakdown of how the $167 million was distributed and what safeguards are in place for sustainability post-federal funding.
• Community Equity and Program Reach: Highlights that programs like the Affordable Housing Fund and Water/Sewer Forgiveness have significant allocations but minimal disbursement, inquiring about timelines and prioritization for low-income and BIPOC residents, as well as geographic equity in capital projects.
• Administrative and Technical Spending: Requests details on deliverables for over $700,000 in administrative/technical contracts and plans for transitioning to in-house capacity.
• Local Workforce and Economic Impact: Asks about the launch timeline for workforce initiatives and how local hiring and MWBE participation are being tracked.
• Evaluation and Long-Term Impact: Addresses the lack of spending on evidence-based interventions and performance evaluations for many projects, and inquires about plans for public reporting on outcomes.

The item has been repeatedly tabled by the Finance Committee since its referral on May 27, 2025.

The City of Buffalo's Third Quarter Gap Sheet (March 31, 2025) projects a $2.08 million surplus for the current fiscal year. This positive outlook is primarily due to $17.2 million in American Rescue Plan (ARPA) funds transferred to the general fund and $3.56 million from a City asset sale. However, the City faces challenges with $8.52 million in combined Police and Fire overtime over budget and $6.7 million in legal settlements exceeding projections, partially offset by 334 general fund vacancies.

Buffalo Public Schools anticipate a $54.9 million deficit for the full year, an improvement of $28.6 million from the original budget, following the loss of $90 million in ARP/ESSER funding. Cash flow remains strong, with $108.1 million over original projections through Q3, and year-end cash expected to be $24.7 million higher at $378.2 million. Key variances include $9.5 million under budget for salaries/FICA and $52.4 million under budget for services/supplies, while health insurance is $6.0 million over projection.

The Buffalo Urban Renewal Agency (BURA) reports a $154,581 surplus, with $8.74 million in actual grant income and $8.58 million in expenditures year-to-date. BURA is actively managing several affordable housing projects, including the $20 million West Side Homes (49 units, 90% complete), $27.5 million Mt. Olive Senior Manor (65 units, 60% complete), and the $35.5 million 875 Lafayette/630 Linwood conversion (80 units, 0% complete). The $20.5 million Hope on Main emergency family shelter (32 units/80 beds) is also underway with $3.65 million in HOME-ARP funds.

The Buffalo Municipal Housing Authority (BMHA) recorded a $1.097 million net operating income before debt service, which is $416,107 (27%) below budget. While revenues are $2.58 million over budget (including $2.02 million from the sale of Fosdick field), expenses are $2.92 million (6.7%) over budget. This is largely due to $1.53 million in maintenance contract costs from outsourcing due to vacancies, $365,913 for unit turnaround, $638,381 in collection losses, and $2.08 million in higher housing assistance payments (HAP, UAP, Section 8 costs), partially offset by $792,159 in payroll savings from vacancies.

This report details the City of Buffalo's utilization of $331,356,932.00 in State and Local Fiscal Recovery Funds (SLFRF) as of Q1 2025, with $260,431,263.83 expended across 35 projects. The City calculated actual revenue losses totaling $264,105,423.00 from 2020-2023, primarily allocating these funds to the Police and Fire Departments.

Key Capital Projects & Community Investments:

• Masten Park/Johnny B. Wiley Reconstruction Project: A $20,967,755.93 project (with $22,000,000.00 expected capital expenditure) to redevelop the sports pavilion and park, including new athletic fields, a splash pad, pool, and indoor sports court in a low-income community.
• Park Access Equity Fund: Allocates $12,551,560.14 (with $20,000,000.00 expected capital expenditure) for improvements to at least 8 city parks and the construction of an $8.5 million indoor sports facility at Shoshone Park.
• Cultural Institution Support: Provides $16,647,021.96 (including a $7 million increase and $8,000,000.00 capital expenditure) for facility upgrades to cultural institutions impacted by the pandemic.
• Affordable Housing Advancement Fund: A $16,300,000.00 initiative (with $3,000,000.00 capital expenditure) to develop new affordable housing units and provide financial relief in disproportionately impacted neighborhoods.

Other Major Programs:

• Premium Pay: $11,030,000.00 distributed to 2,754 essential public sector employees.
• ROLL Expansion: $10,000,000.00 for lead water service line replacement in at least 1,000 homes.
• Water and Sewer Debt Forgiveness Program: $11,460,000.00 allocated to forgive household debt for 33,000 eligible residents, currently in development.
• Road Maintenance Fund: $8,475,749.83 for street and sidewalk repairs, with $400,000 allocated to each of the nine Council Districts.

Many programs, particularly those offering household assistance and job training, are still in development or have not yet started expenditures, indicating significant funds remain to be deployed.

This report from the Comptroller's office provides an assessment of the City of Buffalo's Recommended Budget for Fiscal Year 2025-2026 and the Four-Year Financial Plan (2026-2029). The total recommended budget is $622,074,415. The Comptroller expresses significant concerns regarding the budget's reliance on uncertain revenue sources and under-budgeted expenditures.

Key Concerns and Uncertainties:

• Sale of City-Owned Parking Ramps/Lots: The budget assumes $26.5 million in revenue from this sale, which requires New York State Legislature approval and is currently uncertain, with only one sponsor in the Assembly and none in the Senate. If this sale does not occur, a significant $26.5 million shortfall for FY2026 is projected.
• Hotel Occupancy Tax: A proposed $3.4 million from this tax also requires state legislative approval and its projection is unclear.
• Overtime Expenditures: The budget proposes a reduction in overtime to $24,595,690, despite actual overtime costs already reaching $38,160,681 as of April 23, 2025. The Comptroller believes this line item may still be underfunded.
• Pension and Health Insurance Costs: The budget is believed to underestimate anticipated costs for active and retired employees.
• Tribal Compact Casino Revenue: $11.0 million is budgeted, but the agreement expired in December 2023, and future revenue-sharing is uncertain.
• NYS Aid Incentive to Municipalities (AIM): A temporary $5 million increase is included for three years, but there is no indication it will be made permanent, potentially leading to a reduction in future funding.
• Fund Balance: The entire $3,642,466 Unassigned Fund Balance is projected to be used, leaving a $0 balance and violating the City's Fund Balance Policy.
• Four-Year Financial Plan: The plan lacks sufficient detail for a thorough review, relying on one-time revenues rather than identifying new recurring sources to address long-term structural challenges.

The report highlights that while the budget appears materially balanced for FY2025-2026 outside of the parking ramp sale uncertainty, ongoing evaluations are necessary. The Comptroller urges the Administration and Common Council to seek additional recurring revenue streams and review existing contracts for better market reflection.

Council Member Mitchell P. Nowakowski is proposing the creation of the Buffalo Parking and Mobility Authority to address the city's fiscal needs. The proposal involves bonding out and purchasing the city's four parking ramps for an estimated $40 to $60 million to generate immediate revenue. This item has been repeatedly tabled by the Finance Committee since April 2025, with the latest scheduled meeting on January 27, 2026.

Key Concerns Raised:

• Valuation: Whether a formal appraisal of the parking infrastructure has been conducted and its current market value.
• Financial Feasibility: Analysis comparing projected revenue to debt service obligations, especially considering repair costs.
• Long-Term Value: Assessment of economic factors like decreased parking demand and rising maintenance costs.
• City Liability: Potential financial or legal obligations for the city if the Authority's revenue projections fall short or it fails bond covenants.
• Transaction Clarity: Ambiguity regarding what is being transferred to the Authority, especially since the city would retain title but the Authority would receive use and occupancy rights. The nature of any private management or operator involvement is also unclear.

The proposal's financial implications and the lack of clarity around the Authority's structure warrant significant scrutiny.

Mayor Christopher Scanlon proposes selling Buffalo's four revenue-generating parking ramps (Adam, Augspurger, Fernbach, and Turner) to a newly created public authority, the City of Buffalo Parking Authority, to generate at least $45 million to address the city's projected budget deficit of over $50 million. This one-time infusion of cash is intended to plug a significant budget gap but does not address the city's underlying fiscal challenges. The proposal has drawn criticism from mayoral candidates, including Council Member Rasheed Wyatt, State Sen. Sean Ryan, Garnell Whitfield Jr., and James Gardner, who view it as a short-term financial gimmick that sacrifices future revenue and creates an unaccountable agency. The sale would mean the city loses a steady stream of income, which has historically provided significant funds (over $174 million from 1991-2024 through BCAR's payments). The new authority would manage the ramps, potentially allowing for more flexibility in negotiating leases and reinvesting in facilities, but its long-term financial impact and accountability remain points of concern. State Assembly Majority Leader Crystal Peoples-Stokes has introduced legislation to create the authority, which would have five directors appointed by the mayor and approved by the Common Council. The deal's final valuation is still to be determined, with current insurance and replacement values cited as $134 million and $155 million, respectively.

This agenda item, initiated by Council Member Rasheed N.C. Wyatt and sponsored by Pedro Gonzalez-Ortiz, addresses the City of Buffalo's fiscal policy. The accompanying editorial from The Buffalo News highlights a significant budget deficit of over $50 million for the 2025-26 fiscal year. The city plans to sell four municipal parking ramps for an estimated $45 million to partially cover this deficit, a move described as another "one-time fix." The editorial criticizes Buffalo's historical reliance on nonrecurring revenue sources (from 2007-2020) to balance budgets instead of implementing modest tax increases or sustainable revenue streams. Mayor Christopher Scanlon has initiated 10% budget cuts across departments, yielding $5 million in savings, and is reviving a hotel occupancy tax proposal at 3%. The core issue raised is that Buffalo's financial health is being dictated by political considerations and popularity contests, rather than a stable, depoliticized fiscal strategy with robust checks and balances.

Key Issues:

• Budget Deficit: Over $50 million for the 2025-26 fiscal year.
• One-Time Revenues: Reliance on selling parking ramps ($45 million) and past use of American Rescue Plan funds (>$40 million).
• Historical Practice: Years of using nonrecurring revenue (2007-2020) to cover gaps.
• Proposed Solutions: Departmental budget cuts ($5 million saved), potential 3% hotel occupancy tax.
• Core Argument: Fiscal policy needs to be depoliticized and based on sustainable, long-term revenue sources, not political expediency.

This agenda item, "J. Robe, BFSA - COB Budget Submission Deadline Concerns," addresses a conflict arising from a recent City Charter amendment that moved the Mayor's proposed budget and four-year financial plan submission deadline from May 1 to April 8. The Buffalo Fiscal Stability Authority (BFSA), in a letter dated April 1, 2025, highlights that this earlier deadline conflicts with the ability of the Mayor's Administration to develop a budget based on reasonable revenue assumptions, especially given the uncertainty surrounding the State's budget (due April 1) and potential federal funding reductions. The BFSA recommends revising the submission deadline for the 2025-26 Budget and 2026-2029 Financial Plan to be within 21 days after the State budget is passed, but no later than May 1. They also suggest permanently amending the City Charter to reflect this more realistic timeframe for future budget cycles. The item has been repeatedly tabled by the Finance Committee since April 8, 2025, with the latest scheduled next step being January 27, 2026.

This item, "City of Buffalo, Management Letter," is a communication from the Audit and Control department, prepared by Rebecca Brooks, and was initially referred to the Finance Committee on February 4, 2025. The management letter, dated October 31, 2024, from Drescher & Malecki LLP, details findings from the audit of the City's financial statements for the year ended June 30, 2024.

Key Findings and Recommendations:

• Solid Waste and Recycling Fund Deficit: Consistent operating deficits have led to significant interfund advances from the General Fund, totaling $23,399,207 as of June 30, 2024. The report recommends establishing adequate rates to cover expenses and repay advances, and seeking a legal opinion on the appropriateness of budgeted operating transfers from the General Fund.
• Departmental Invoicing: The Buildings Department failed to invoice New York State for Court Facility Aid (Buildings) in the year ended June 30, 2024, resulting in zero reported revenue for this budgeted item. Recommendations include determining collectability, establishing clear policies and procedures for billing, and performing regular budget monitoring.
• American Rescue Plan Act (ARPA) Spending: As of June 30, 2024, $126.0 million of ARPA funds remain to be committed by December 31, 2024, and spent by December 31, 2026. The report recommends accelerating the use of these funds and developing a multiyear plan.
• Future Reporting Requirements: The City must implement several new GASB statements (No. 101, 102, 103, and 104) in the coming fiscal years, which will impact financial reporting and disclosures.

The agenda item has been repeatedly tabled by the Finance Committee since February 2025, with the latest entry indicating it was tabled on January 13, 2026, with the next meeting scheduled for January 27, 2026.

The City of Buffalo's Single Audit Report for the fiscal year ended June 30, 2024, reveals a complex financial picture with both improvements in overall net position and significant budgetary and compliance challenges.

Overall Financial Position:

• The City's primary government net position improved, increasing by $57,907,000 to a deficit of $(671,156,000). This includes a substantial unrestricted net position deficit of $(1,430,249,000), largely due to $1,114,050,000 in long-term Other Postemployment Benefits (OPEB) obligations.
• Governmental funds saw an increase of $10,300,000 in combined ending fund balances, reaching $245,180,000.

Budgetary Performance and Compliance Issues:

• The General Fund's total fund balance decreased by $31,624,000 to $117,797,000. Actual General Fund expenditures exceeded the final budget by $51,745,000, driven by significant overspending in public safety ($24,859,941 over budget for administration, police, and fire) and transfers out ($46,356,073 over budget).
• Revenues in the General Fund, including property taxes, state aid, and fines, consistently fell below budget estimates, while federal aid (ARPA) and investment interest exceeded expectations.
• A significant deficiency (Finding 2024-001) was noted: the City appropriated $43,873,336 more fund balance for the FY2025 budget than was available at June 30, 2024. Additionally, the General Fund's assigned and unassigned fund balance of $12,328,968 does not meet the City Charter's requirement of maintaining at least 30 days of prior year expenditures.
• The Solid Waste and Recycling Fund continues to operate at a deficit of $(62,414,416), with a $23,399,207 long-term interfund payable to the General Fund.

Long-Term Liabilities and Federal Awards:

• Total general obligation bonded debt outstanding (City and BFSA) is $190,335,000. The City issued $65,580,000 in new serial bonds during the year. The Water System also issued $32,990,000 in revenue bonds.
• The City's judgments and claims liability decreased to $31,700,000, with an additional $11,000,000 to $30,000,000 in reasonably possible future claims.
• A noncompliance finding (2024-002) was identified for failure to report federal subawards over $30,000 through the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS).

Management has outlined a plan to address budget deficits and fund balance compliance, including obligating additional ARPA funds ($17.2 million for revenue replacement), implementing personnel vacancy controls, and planning mid-year and future budget reductions.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt and adopted by the Common Council on February 4, 2025, requests an update on the City of Buffalo's In-Rem auction process and the handling of surplus funds. Concerns have been raised about recent changes to the auction process, its legality, and compliance with legal requirements for distributing surplus funds, particularly following a 2023 U.S. Supreme Court decision mandating the return of surplus funds to property owners. The resolution requires:

1. Corporation Counsel and the Commissioner of Assessment and Taxation to provide an update on the new In-Rem auction process and any planned changes at an upcoming Finance Committee meeting.
2. The Department of Finance and Administration to present a full accounting of previous In-Rem surplus funds, detailing actions taken to return funds to former property owners and any outstanding balances.
3. The City Clerk to distribute this resolution to relevant city departments and the Mayor's Office.

The resolution was subsequently tabled multiple times by the Finance Committee, with the latest scheduled meeting noted as January 13, 2026.

This item is a communication from the Mayor responding to a letter from the Comptroller regarding the status of American Rescue Plan Act (ARPA) funds. The Mayor firmly rejects the Comptroller's claim that $2.5 million remains unencumbered, stating that all ARPA funds were fully encumbered by the federal deadline of December 31, 2024. The response details the status of funds in several categories:

• City Arrears Forgiveness Program: $2,551,886.00 was encumbered on December 23, 2024, with funds being applied to homeowners' accounts by the end of Q1 2025.
• Cultural Institution Support: $30,000 remains due to capital projects costing less than budgeted. Options for reclassification are being explored with the U.S. Department of Treasury.
• ARPA CISP 509 Michigan: Funds remain allocated to this project at 509 Michigan due to ongoing litigation with the contractor over incomplete work.
• Cybersecurity: $1.40 could not be encumbered as contracts totaled less than the original budget.
• ARPA Technical Assistance + Communications and Public Engagements: Contracts are being disencumbered to resolve a negative balance.

The Mayor asserts that the City has met its ARPA obligations and criticizes the Comptroller's office for misinterpreting data.

Council Member Mitchell P. Nowakowski is requesting an interim agreement for the Erie Basin Marina operations for the 2025 season. This request stems from audits by the City Comptroller revealing structural deficiencies in the current contract with Smith Boys, LLC. The existing payment structure has reportedly yielded minimal profit for the City while allowing the operator to generate substantial revenue. The proposed interim agreement aims to prioritize transparency and a fairer revenue share for the City, serving as a temporary measure until a new Request for Proposals (RFP) can be issued for a long-term operator. This action is intended to improve the stewardship of this public resource and advance the waterfront's development.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt, requests a comprehensive update from the City of Buffalo on the status of American Rescue Plan (ARP) funds allocated to non-profit organizations. The Common Council seeks detailed information including:

• Original and final awarded amounts for each organization.
• Year-to-date disbursements.
• Remaining balances.
• Projected timelines for next payments.

The resolution emphasizes the critical role of non-profits in community recovery and the need for transparency and accountability in fund disbursement. The requested information is due to the Common Council by January 24, 2025. The resolution was adopted by the Common Council on January 7, 2025, and subsequently tabled by the Finance Committee on January 14, 2025, with multiple subsequent tabling dates noted.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt, requests that the Office of Finance and Administration and the Comptroller's office provide the Buffalo Common Council with monthly financial reports in addition to the current quarterly reports. This is due to a projected financial deficit and the need for more frequent oversight to ensure fiscal stability and informed decision-making. The monthly reports should detail city revenues by source, expenditures by department, fund balances, and any corrective financial measures. These reports are to be submitted by the 15th of each month.

This agenda item, 25-1592, concerns the Cash and Flow Report for August 2025. The report details the projected cash flow for both the City of Buffalo and the Buffalo Board of Education for the fiscal year 2025-2026. The documents provide monthly projections of cash receipts and disbursements, culminating in projected ending cash and investment balances for each entity. The report was initially referred to the Finance Committee on September 30, 2025, and has been subsequently tabled multiple times, with the latest status indicating it was tabled on December 30, 2025, with a next meeting date of January 27, 2026.

This item presents the Cash & Flow Report for July 2025, detailing the projected cash flow for the City of Buffalo and the Buffalo Board of Education for the fiscal year 25-26. The report includes beginning and ending cash balances, cash receipts, and cash disbursements for each month. The combined projected ending cash and investments for the City of Buffalo show a variance of ($18,307) thousand compared to the initial projection, while the Buffalo Board of Education shows a variance of ($2,255) thousand. The report was initially referred to the Finance Committee on September 16, 2025, and has been tabled multiple times, with the latest action indicating it remains tabled with a next meeting date of January 27, 2026.

The City of Buffalo is seeking approval to enter into a lease agreement with 225 Ellicott Street Market LLC for the temporary use of the former Braymiller Market building at 225 Ellicott Street by the Buffalo Police Department's B District Station. This relocation is necessary for 9-12 months due to urgent sewer main replacement and interior renovations at the BPD's current Main and Tupper Streets location.

Key Lease Terms:

• Premises: Approximately 45,862 square feet at 225 Ellicott Street, Buffalo, NY 14203.
• Term: Twelve (12) months, with the Tenant (City of Buffalo) reserving the right to terminate earlier with one month's written notice.
• Rent: One Dollar ($1.00) per month.
• Landlord's Obligations: Maintain the exterior of the building and property, exterior utility lines, and provide operating control of camera, security, and HVAC systems.
• Tenant's Obligations: Maintain exterior portions of the premises (snow, ice, cleaning), pay for all utilities (electric, gas, water, sewer, internet, security), share equally in necessary internal maintenance costs, and be responsible for any alterations needed for police operations.

The lease is expected to save the city approximately $800,000 compared to market rates. The relocation will also provide an active police presence in the Ellicott District, which has seen an increase in 911 calls. Additionally, the city will host three employment transition sessions for former Braymiller Market employees on December 20, 2024, December 23, 2024, and January 6, 2025, at Buffalo City Hall.

The owner of 225 Ellicott Street will market the property for sale during the lease term, with the Buffalo Urban Renewal Agency assisting in soliciting potential grocers or similar operations.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt, requests the City Comptroller to investigate the utilization of $331 million in American Rescue Funds (ARP) received by the City of Buffalo in 2021. The resolution highlights concerns raised by community groups, such as Frontline Art and Ujima Theater, and reports from The Buffalo News detailing significant reductions and slow disbursement of promised funds to organizations like Back to Basics Outreach Ministries. The Comptroller is tasked with reconciling fund usage against written plan objectives and federal laws to prevent future clawbacks, and to summarize any losses incurred by the city during the pandemic. The Comptroller's office is expected to provide a written response within 10 days.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt, formally requests the Acting Mayor to commission a Financial Efficiency Study to address the City of Buffalo's significant financial challenges. The study will be conducted by independent experts and will analyze city expenditures, revenue streams, operational processes, and potential cost-saving measures. It aims to identify opportunities for optimizing resource allocation, eliminating redundancies, improving departmental performance, and generating revenue without unduly burdening taxpayers. The findings and recommendations will be presented to the Buffalo Common Council and made publicly accessible to ensure transparency and accountability. The Administration and Finance Department, Mayor's Office, and Comptroller are tasked with cooperating in the study, and the Mayor's Office and Department of Administration and Finance are responsible for allocating funding and coordinating with consulting firms. The resolution also directs the City Clerk to forward copies to relevant city officials. This item has been repeatedly tabled by the Finance Committee since December 2024.

This resolution addresses the urgent and future needs of the Buffalo Animal Shelter, located at 380 N Oak Street. The current facility is described as deplorable and decrepit, with inadequate conditions for animal care, including limited space, poor ventilation, and insufficient maintenance, compromising the welfare of animals, staff, and volunteers.

The Common Council, sponsored by Chair Mitchell P. Nowakowski, requests the following actions:

1. Immediate Repairs: The Department of Public Works is tasked with addressing the shelter's most urgent structural, health, and safety deficiencies. They are also to collaborate with the Office of Strategic Planning to explore relocating the shelter to a modern facility.
2. Property Assessment & Funding: The Department of Real Estate will assess the current property and commence an appraisal to evaluate capital resources. The City's Grants Manager will explore new funding opportunities, including materials from the Friends of the City of Buffalo Animal Shelter 501(c)(3) organization.
3. Progress Report: The Department of Public Works and Office of Strategic Planning must submit a progress report by October 24th (with findings presented at the Finance Committee meeting on November 6, 2024) detailing potential costs, timelines, and benefits of constructing a new facility.

The resolution acknowledges the shelter's vital public service and the city's moral obligation to ensure humane treatment of animals.

This agenda item, initiated by Council Majority Leader Leah Halton-Pope, addresses concerns regarding contract compliance and safeguards for the City of Buffalo. It stems from issues with contractors like D&H Paving LLC (non-compliant with apprenticeship laws while under investigation) and Sicoli Construction Services Inc. (significant delays and only 20% completion on a project at 509 Michigan Avenue that was due in March 2022).

The item seeks clarification from the Corporation Counsel and the Department of Public Works on whether current contracts sufficiently allow for termination, payment withholding, or fund recovery when contractors fail to meet standards or deadlines. The core issue is ensuring the City can hold contractors accountable for quality and timeliness, especially when selecting the lowest bidder. The Finance Committee has tabled this item multiple times since September 2024, with the latest scheduled meeting on January 27, 2026.

This item, initiated by Councilmembers Halton-Pope and Nowakowski, addresses significant financial accountability and contract enforcement issues within the City of Buffalo. The accompanying memo highlights several problematic contracts and revenue collection failures:

• Erie Basin Marina Contract (Smith Boys): Despite operating since 2013, rent payments have been minimal ($1/year), with no audits performed to verify profit-sharing (20% of net profits above $80,000). This lapse may have cost the City hundreds of thousands of dollars.
• Sue’s NY Deli Contract: Operating in City Hall without a valid contract since 2019, this vendor owes $103,200 in unpaid rent, with no payments made since March 2020.
• AMR Ambulance and First Response Services: The contract expired in 2020, leading to non-payment of franchise license fees. This has resulted in an estimated $2.5 million in lost potential revenue over the last five years.
• Spectrum Franchise Agreement: While fees are being paid, the contract is outdated, necessitating an update to protect the City's interests.

The memo also calls for improved collection of fines and fees, requesting reports from the Department of Permits and Inspections Services and the Law Department on collected amounts, outstanding debts, and barriers to collection. The combined revenue losses from these issues are estimated to be in the millions over the past five years, exacerbating the city's financial crisis. The item was referred to the Finance Committee on September 17, 2024, and has been repeatedly tabled since then, with the latest scheduled meeting on January 13, 2026.

This report, the 2025-2029 Comptroller's Estimate & Report - Five Year Capital Debt Plan, outlines the City of Buffalo's financial condition regarding capital debt and advises on prudent borrowing limits for the next five years. The report details the status of existing capital accounts, authorized but unissued debt totaling $15.7 million, and the city's debt contracting power, which is currently $1,384 million beneath its limit as of July 1, 2024. It also establishes a Capital Debt Management Policy with key ratios for evaluating debt burden, including Net Direct Debt as a Percentage of General Fund Revenues (currently 36.3%, goal below 30%), Total Debt Service as a Percentage of Expenditures (currently 7.8%, goal below 8%), and Net Direct Debt as a Percentage of Full Valuation (currently 0.89%, goal below 1.75%). The report also proposes maximum borrowing amounts for capital projects over the next five years, ranging from $28 million in 2025-2026 to $34 million in 2029. A key recommendation is to ensure that non-capital expenditures are not funded with bond proceeds and that capital budgets clearly identify all funding sources beyond bonds, such as cash and grants.

This resolution, "Charting Buffalo's Path to Fiscal Stability," addresses a projected $40 million budget shortfall for the City of Buffalo, with expectations of larger deficits in the future. The Common Council is taking action due to concerns about unnecessary expenditures and non-revenue generating activities hindering effective resource allocation. The resolution outlines several requests to improve fiscal management:

• Appointment to Fiscal Stability Authority: Requests the appointment of a Buffalo Common Council member to the Buffalo Fiscal Stability Authority.
• Vacancy Reporting: Requires the Administration and Finance Department to provide monthly detailed vacancy reports to the Common Council.
• Expenditure Review: Mandates a comprehensive review of non-revenue generating programs and non-contractually obligated costs to identify suspensions that can reduce deficits.
• Revenue Enhancement: Calls for a review of strategies to increase revenue, including collecting adjudicated funds, updating fee schedules, pursuing grants, and leveraging partnerships.
• Monthly Budget Updates: Requires the City Comptroller and Administration and Finance Department to meet monthly with the City Council to discuss budget status, expenditure reductions, revenue enhancements, and the impact of the four-year plan.

The resolution also notes that unfilled vacancies within the Buffalo Fiscal Stability Authority have impacted its ability to meet quorum.

This item, 24-814, concerns the Capital Debt Service Fund Deposits for the 2024-25 Fiscal Year in the City of Buffalo. The Comptroller has certified the total Capital Debt Service Fund Requirements for the fiscal year (July 1, 2024 - June 30, 2025) to be $42,163,728.45.

Key Financial Details:

• First Collection Period (July 1, 2024 - Dec 31, 2024):
  • Total Requirement: $4,989,315.72
  • Specific obligations include serial bonds totaling $4,989,315.72, with payments due between August 1, 2024, and December 1, 2024, to M&T Trust.
  • Amount to be deposited by the Director of the Treasury: $4,895,886.35.
• Second Collection Period (Jan 1, 2025 - June 30, 2025):
  • Total Requirement: $37,174,412.73
  • Specific obligations include serial bonds totaling $37,174,412.73, with payments due between January 15, 2025, and April 1, 2025, to M&T Trust.
  • Amount to be deposited by the Director of the Treasury: $32,001,176.65.

The Director of the Treasury is instructed to deposit these amounts into the Capital Debt Service Fund upon receipt of ad valorem property taxes. This item has been repeatedly tabled by the Finance Committee since May 28, 2024, with the latest status showing it was tabled on January 13, 2026.

Council Member Rasheed N.C. Wyatt has requested a comprehensive Cyber Safety Report from the Department of Management Information Systems. The report is intended to assess the city's current cybersecurity protocols and technologies, identify vulnerabilities, outline relevant cyber threats and trends, and provide recommendations for enhancing cyber resilience. The initial requested submission date was May 23, 2024. The item has been repeatedly tabled by the Finance Committee since its referral on May 15, 2024, with the latest scheduled next step being January 27, 2026.

This resolution, sponsored by Councilmembers Wyatt, Nowakowski, and Rivera, acknowledges and supports strategic vacancy control measures for the City of Buffalo. It stems from recommendations by the Buffalo Fiscal Stability Authority (BFSA) to address projected city budget shortfalls. The resolution recognizes the city's existing "Position Control Program" (initiated in 2018) and software systems (Munis, NeoGov) for vacancy tracking and recruitment. It also acknowledges the "SPARK" initiative aimed at improving hiring processes for essential personnel.

Key Actions:

1. Acknowledges the city's proactive measures since 2018 in tracking and managing job vacancies to ensure operational flexibility and essential services.
2. Requests that vacancy-related data, accessible through existing administration software, be shared with the Common Council before annual Budget workshops to aid decision-making.
3. Reaffirms the Council's commitment to maintaining public service quality, minimizing unnecessary vacancies, and upholding fiscal responsibility and workforce development.

This resolution, sponsored by Council Member Rasheed N.C. Wyatt, requests a follow-up audit of the City of Buffalo's Street Lighting System. The original resolution for an audit was adopted on February 5, 2013, aiming to identify potential savings and operational improvements for taxpayer fiscal responsibility and public safety. A previous audit in the late 1990s resulted in over $1 million in reimbursements from Niagara Mohawk. This follow-up audit by the Comptroller's Office will evaluate changes since the last audit and identify further opportunities for savings and performance improvements. Copies are to be referred to the City Comptroller’s Office, Department of Public Works, Law Department, and National Grid.

This item concerns the analysis of vacant land and potential infill housing opportunities within the University District of Buffalo. The Office of Strategic Planning (OSP) has identified approximately 112 City-owned residential vacant lots across three neighborhoods: University Heights, Kensington-Bailey, and Kenfield.

Key Findings:

• 19 lots are potentially suitable for infill housing, with an estimated capacity for 9-12 new homes.
• 7 lots are identified for commercial or mixed-use development.
• 51 lots are miscoded and actually serve existing uses like parkland.
• 35 lots are designated for potential sale or transfer to adjacent property owners.

This information is preliminary and subject to change pending further feasibility reviews and departmental assessments. Any disposition of City-owned property requires Common Council approval. The item has been repeatedly tabled by the Finance Committee since October 2023.