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Finance committee approves free-cash transfers to cover snow and ice, utilities and fire overtime
Summary
The committee approved transfers from free cash to cover deficit spending for snow and ice removal, facility utilities and higher-than-expected fire overtime, totaling about $1.3 million; staff described causes and cautioned about future budget impacts.
The Springfield City Finance Committee voted June 2 to transfer roughly $1.3 million from free cash to cover current-year deficits, including storm-related snow-and-ice costs, higher facility utility bills and fire department overtime.
City finance staff said the transfers are to fund a $375,000 DPW overspend on snow and ice; about $190,000 for facilities snow-and-ice expenses; roughly $400,000 to cover electricity/utility overages; and about $400,000 for fire overtime. After the transfers staff estimated roughly $2.48 million would remain in free cash going into the next fiscal year.
Acting comptroller Steve Larget presented April revenue and expenditure figures showing the city was 83.3% through the fiscal year with revenues at about 87% and expenditures at about 79% of budget, a pattern city staff called comparable to prior years. Staff said property-tax collections were on track for a roughly 98% collection rate after May payments and that intergovernmental (state) receipts often arrive on a different schedule and account for some variance.
Fire Commissioner DJ Calvi told the committee the overtime overage is driven by manpower shortages caused by lost-time hours for injuries, sickness, FMLA and military leave. Calvi said the department has recorded approximately 78,000 lost-time hours in the fiscal year, which equates to being short the equivalent of roughly 36 full-time positions. He said an active academy class of about 20 trainees is under way but added that replacing lost-time with hiring would cost roughly $4.5–$5 million per year to hire approximately 36 personnel with benefits; by contrast, overtime this year is in the $1.2–$1.5 million range.
Councilors asked whether free cash would be drawn down instead of the stabilization fund; staff confirmed the transfers would use free cash and not the stabilization account. Committee members raised broader concerns about residents’ ability to absorb rising utility and property tax bills amid higher costs citywide.
The committee approved the free-cash transfers as presented and forwarded the budget adjustments to the full City Council.
