News From the Town of Colonie
Paula A. Mahan |
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Mahan Suspends Non-Essential Town Spending
Supervisor, Comptroller Urge Discipline As Efforts Begin to Rein In Deficit
Newtonville— Last week, Colonie Supervisor Paula Mahan notified department heads throughout Town government she is suspending non-essential purchasing in an effort to curb spending. Mahan took office January 1, 2008, inheriting a deficit believed to be over the original figure of $8.5 million dollars.
“This is a necessary step we are taking in order to get a proper assessment of the current fiscal conditions in the Town of Colonie ,” said Mahan. “Under the consultation of our Town Comptroller, we are suspending non-essential purchasing in an effort to stabilize the Town's finances and begin the daunting task of eliminating the deficit that has been accumulated over the past six years.”
In 2001, the Town of Colonie maintained a general fund surplus well over $10 million. A July 2007 report from Moody's Investor Services indicated the Town had amassed a deficit approaching $9 million.
“This is the single greatest issue facing the Town and we are working intently to create a sound plan for the financial recovery of the Town of Colonie ,” said Blair. “This suspension is just a minor step on the path to a comprehensive plan to eliminate the deficit.”
Mahan and Blair project this is a problem that will take several years to remediate. Their first step is to establish the magnitude of the fiscal crisis they inherited and in the meantime they are encouraging restraint from the Town's workforce to save taxpayers' money.
“There is no solution that will come from one person, in fact, it will require a collaborative effort and a collective discipline to get the result we are seeking for the Town's taxpayers,” said Mahan. “In the coming months we will unveil additional steps and encourage residents to get directly involved in the process.”
The Supervisor's policy was sent to department heads by e-mail last week. Mahan and Blair expect to reevaluate the policy in April.