Revenue from parking in 2020 was 57 percent of what had been budgeted. The worst loss in revenue was from the city parking lot across from the train station, whose revenues were only 37 percent of what was anticipated. Campbell reported that in the month of December revenue from this parking lot was $2,600, when in the past it was $26,000. She suggested that, since the parking lot is primarily used by people commuting into New York City for work, this may be a source of revenue that never comes back because the pandemic has demonstrated to many people that they can work remotely.
Revenue from building permits and fees remained strong during 2020, with the actual income from these sources being 94 percent of what was budgeted for the year.
Campbell concluded that the City's actual revenue for 2020 was $9.9 million and its expenditures were $11.1 million, resulting in a deficit of $1.2 million. Last night, DePietro made reference to President Biden's COVID-19 relief bill, which includes $350 billion in direct aid to state and city governments. If Congress passes the bill, it is not clear how much if any relief the City of Hudson can expect to receive. Failing a bailout from the federal government, the plan is to use the fund balance to make up the deficit, which would leave just $600,000 in unassigned funds in the fund balance.
Last night, Campbell tried to point out that since 2011 the City has had a fund balance policy that requires the unallocated fund balance to be between 25 and 35 percent of the General Fund. That policy needs to be adopted every year, and the Council has not done so. DePietro told Campbell the policy could be changed and commented, "We all tend to fetishize what a fund balance is."
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