Analysis of the comptroller’s water fund warning
Four straight years of no increases in water rates, while at the same time depending on seven-digit transfers from the water fund each year to reduce city taxes isn’t a sustainable financial plan for the City of Amsterdam. The possibility that the water fund balance could be depleted was proven and well-publicized at least a year ago. Yet in Mayor Michael Cinquanti’s proposed budget for 2021-2022, we see virtually no water rate increase (.25%) and the exact same $1.3 million appropriation of fund balance to transfer to the general fund as we had last year.