Saratoga Springs budget workshop highlights short-term rental revenue, assessment gains and rising costs

Saratoga Springs’ budget workshop on accounts and finance on an October meeting date focused on steep expense growth, updated assessment work and newly available short-term rental revenue projections that finance officials say could reduce the city’s projected shortfall.

Commissioner Moran, the finance commissioner, told the meeting that the city’s comprehensive budget (the conservative baseline used while officials work toward an amended budget) shows large cost increases: "These, we're not talking about rising costs of, like, 2%, 5%. We're talking about rising costs of, like, 188%, 226%." He highlighted increases in retirement costs, health insurance and liability insurance and said debt-service costs have also risen as borrowing and refinancings extend repayment timelines.

The finance commissioner said the comprehensive budget assumes about 30% of revenue from property tax and about 38% from non-property sources such as sales tax, mortgage tax and state or federal aid, while public safety would account for roughly 60% of expenses in the plan. He presented a set of options to close gaps including a proposed 2% property tax increase (equal to about $14 annually on a $100,000 assessed house), fee increases and new or expanded revenue streams such as paid parking changes and adjustments to special-event fees.

Accounts department director Brad, who also identified…