Ithaca's adopted 2027 budget raises the property tax levy 2.72% while adding staff for flood mitigation, parks management and water and sewer repairs.
Common Council unanimously approved the spending plan Wednesday, according to the city, which has posted its budget documents and presentation. It provides $118,773,997 for operating expenses and $23,798,501 for capital improvements across city operations, with a general fund tax rate of $12.437 per $1,000 of assessed value.
The levy increase falls below the New York State property tax cap. The city estimates that a median single-family homeowner with a property valued at $350,000 will pay $68.40 more in city property taxes for 2027.
The budget takes effect Jan. 1. Council also adopted a five-year Capital Improvement Plan, which the city described as the first in its history.
New positions and infrastructure work
Council amended the final budget to support operational changes and restore several cuts. An additional water and sewer crew is intended to double the pace of repairing and replacing that infrastructure, according to the city.
The city said that work will support future housing development and reduce the risk of infrastructure failures. It also plans to expand traffic calming and enforcement efforts, including red-light cameras at high-risk intersections.
A new flood mitigation program manager in the Engineering and Transportation Division will oversee the design and construction of flood mitigation projects.
A parks and natural resources administrator will place city parks and green space under one point of strategic oversight and management. The city said the position will improve coordination and maintenance in neighborhood parks and Stewart Park.
Closing a gap and planning five years ahead
The budget process began with an anticipated $8 million gap resulting from increased expenditures. Every department identified spending reductions, operational efficiencies, revenue opportunities and expenditure controls while working to protect essential services, the city said.
City Manager Dominick Recckio credited staff with balancing the budget and preparing for 2027 while establishing a longer-term financial plan.
Controller Carissa Ralbovsky said the city is decreasing debt and funding operations without using general fund balance. The spending plan also calls for continued work on financial controls, fiscal forecasting and long-term liabilities.
Mayor Robert Cantelmo said the adopted budget advances commitments to housing expansion and habitability, growth and community development, flood mitigation and quality-of-life investments while keeping the levy below the state cap.
The capital plan includes projects to be funded in 2027 and authorizes planning for projects over five years. It is intended to address deferred maintenance at city facilities, streets, water and sewer systems and public spaces, shaping the city's project schedule in the coming year and beyond.
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