Budget Presentation Budget Presentation City of Cohoes October 9, 2007 Cohoes City Hall

Finance 101 Guidelines Expenditures Limit Public Safety Expenditure Increases to Inflation Limit Public Safety Expenditure Increases to Inflation No New Debt No New Debt No New Benefits No New Benefits Keep Services Expenditure Increases to Below Inflation Keep Services Expenditure Increases to Below InflationRevenues Minimize Property Tax Increases Minimize Property Tax Increases Conservative Revenue Estimates Conservative Revenue Estimates Fund Balance/Future Planning Fund Balance/Future Planning Continue to Build Fund Balance to 5% Target to Improve Bond Rating and Protect against Rainy Days Continue to Build Fund Balance to 5% Target to Improve Bond Rating and Protect against Rainy Days

Budget Goals Conservative Revenue Estimates Conservative Revenue Estimates Continue to Build Fund Balance Continue to Build Fund Balance No New Debt or Benefits No New Debt or Benefits Minimize Property Tax Increases Minimize Property Tax Increases

General Fund 4.96% Tax Rate Increase 4.96% Tax Rate Increase Average home ($80,000 assessed) increase $61.52 in City Taxes Average home ($80,000 assessed) increase $61.52 in City Taxes No New Debt No New Debt

General Fund 1 New Code Enforcement Officer 1 New Code Enforcement Officer 12% Increase in Health Insurance 12% Increase in Health Insurance 5% Increase State Aid to reduce tax increase 5% Increase State Aid to reduce tax increase All union contracts settled in 2007 with retroactive payments All union contracts settled in 2007 with retroactive payments

General Fund

Water Fund 4% Rate increase ($12/yr for average user) 4% Rate increase ($12/yr for average user)

Water Fund

Decreasing Water Usage

Sewer Fund 4% Rate Increase ($12/yr for average user) 4% Rate Increase ($12/yr for average user) LTCP $100,000 for 2008, MS 4 mandates LTCP $100,000 for 2008, MS 4 mandates

Sewer Fund

Albany County Sewer District Charges

Revenues No proposed increases in major revenue accounts No proposed increases in major revenue accounts Conservative sales tax estimate Conservative sales tax estimate Mortgage tax decreasing with fewer sales and refinancing Mortgage tax decreasing with fewer sales and refinancing State Aid revenue is paying retirement costs State Aid revenue is paying retirement costs

Overall Budget Total Budget is $20,420,823 over all Funds Total Budget is $20,420,823 over all Funds General Fund$16,565,107 Water Fund$1,849,088 Sewer Fund$2,006,628 Increase expenses of $662,660 or 3.3% Increase expenses of $662,660 or 3.3% General Fund $622,350 or 3.9% Water Fund $12,648 or <1.0% Sewer Fund $27,662 or 1.4% CPI-U = 4.3% for 2007 CPI-U = 4.3% for 2007

Budget Conclusions There are obstacles to overcome There are obstacles to overcome Projections are conservative Projections are conservative Continued concern of impact on the taxpayers vs. the cost to provide services with an eye towards the current and future financial condition of the City. Continued concern of impact on the taxpayers vs. the cost to provide services with an eye towards the current and future financial condition of the City. The budget process is an ongoing process and this is just the start. The budget process is an ongoing process and this is just the start.

Future Budget Process Common Council Meeting - Tuesday Oct 23 at 7pm Common Council Meeting - Tuesday Oct 23 at 7pm As needed As needed Budget Vote - Tuesday Nov 13 at 7pm Budget Vote - Tuesday Nov 13 at 7pm

Q & A