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Tonawanda council amends mayor’s budget, restores reserves and approves 4.5% tax levy increase
Summary
After hours of debate the Tonawanda Common Council adopted a package of line‑item cuts that restored $598,736.30 to reserves and passed an amendment setting the 2026 property tax levy at $16,252,698 (a 4.5% increase) to reduce reliance on fund balance. The changes passed by recorded roll calls.
The Tonawanda Common Council adopted a package of budget amendments on Nov. 18 that restores $598,736.30 to the city’s reserve fund and sets a new 2026 property tax levy of $16,252,698 — a 4.5% increase from the current levy — after an extended informal workshop on the mayor’s proposed budget.
The council’s amendment deleted or reduced a number of expenditure lines to replenish reserves and avoid a deeper drawdown of the general fund. The clerk read the adopted changes into the record: a $90,000 cut to reassessment project expenses; small transfers moving youth board salary to a new youth athletics equipment line; a $1,236.30 reduction to the city attorney salary line; a combined $7,500 reduction to police and fire awards; a $300,000 reduction to retirement costs; $50,000 trimmed from professional services; $50,000 removed from community‑park cameras; and $100,000 reduced from hospital/insurance projections, for a net budgetary effect of minus $598,736.30.
Why it matters: council members said the package was designed to preserve the city’s minimum fund balance (the council emphasized a policy target near 16% of operating expenses) while avoiding steeper cuts to core services. Supporters said the levy increase will reduce the city’s dependence on one‑time reserves to balance recurring expenses; opponents warned that raising the levy above the statutory tax cap risks political backlash and should be used sparingly.
“Tonawanda cannot grow, attract families, or strengthen services if we underfund public safety, infrastructure and programs,” resident Timothy Pianmo told the council during public comment, urging a strategic, long‑term approach that can justify modest tax increases to protect city assets.
On the vote: the amendment restoring $598,736.30 to reserves passed on a roll call after formal amendment language was read by the clerk. A separate amendment that set the levy at $16,252,698 (4.5%) passed with a recorded majority after debate; the amendment record shows at least one recorded nay during the amendment discussion but a majority voted to adopt the levy adjustment.
Council debate focused on the major cost drivers: retirement payouts and healthcare. The treasurer explained the retirement line contained a built‑in cushion following lower than expected retiree cash outs in 2024; several members warned that sharply reducing retirement or insurance lines could leave the city exposed to retiree payout obligations or unbudgeted insurance claims in 2026. Supporters of the cuts said modest, targeted reductions could safely restore reserves without undermining core obligations and that contract negotiations for police and fire will be handled by the incoming administration.
Next steps: with the amendments adopted the council declared the 2026 general, water and sewer operating budgets adopted as revised. Council members said additional amendments and routine budget housekeeping remain possible in January when the new administration begins, but they characterized the evening’s package as a compromise to stabilize the city’s finances for the coming year.
The council adjourned its informal session at 8:54 p.m.; several members used their closing remarks to urge continued public conversation about the tradeoffs between taxes and services.
Provenance: topicintro SEG 3469; topfinish SEG 3698.
