Council Approves $196K Departmental Transfers and $1.365M Free‑Cash Transfers to Cover Year‑End Deficits

The Springfield City Council on June 2 approved two budget moves to cover year‑end shortfalls: a $196,000 transfer from contingency to several department accounts and a $1,365,000 transfer from free cash to cover deficits in utility, snow‑and‑ice and fire overtime accounts.

City finance staff member Cathy Buono told the council the reserve contingency line was $250,000 and she asked to transfer $196,000 to cover shortfalls tied to contractual raises, retiree payouts and the absorption of a formerly grant‑funded position into the general fund. She outlined the transfers: procurement advertising $20,000; city clerk salaries and postage $20,000; capital assets salaries $1,000; dispatch overtime $75,000; and elder affairs salaries $75,000. Buono said department‑level salary savings had been used where available but some departments lacked salary savings and needed transfers to cover negotiated raises and payouts.

Councilors asked how much of the $196,000 was attributable to raises; Buono said she did not have an exact figure and would provide a more detailed breakdown for transparency. Councilor Davila requested a future breakdown showing how much of the transfer covered contractual wage increases.

On the free‑cash transfers, Buono said a $400,000 shortfall in electricity/utility bills for the comptroller’s office (Eversource bills), a $375,000 deficit in the DPW snow‑and‑ice account, a $190,000 facilities snow‑and‑ice deficit and $400,000 for fire overtime together required $1,365,000 from free cash. She said that after the transfer the city’s free cash balance would be about $2,480,719, which would roll to next year if unused.

Both transfers passed the council by roll call.