Ogdensburg budget plan would raise property taxes and lower utility rates

Ogdensburg City Manager Fonda Chronis has recommended a $22 million 2027 spending plan that would raise the property tax rate while lowering fixed water and sewer charges. The plan would keep current positions and services in place, while the city expects its general fund to run a deficit covered by savings.

The proposed property tax rate increase is 2.3% per $1,000 of assessed value. The city estimates that a property assessed at $97,000 would pay $34.10 more in property taxes than last year. The property tax levy would increase by 3.82%.

Fixed water and sewer charges would drop by a combined $80. The flat water rate would decrease from $470 to $450, while the flat sewer rate would fall from $638 to $578. For a $97,000 home, the city estimates the combined annual decrease in taxes and utilities would be $45.90.

Chronis has attributed the proposed tax increase in part to a 19% rise in employee benefits, including retirement and health insurance. He said the budget would keep all current positions and services in place. About 86% of parcels are expected to have a lower overall cost of city government, according to the city’s estimate.

The plan continues a reduction in the city’s constitutional tax limit, which would fall to 80%. Public safety would account for $8.78 million, or 58.6%, of general fund spending. Sales tax revenue is projected to be $400,000 higher than the amount budgeted for 2026.

The projected 2027 general fund deficit would be covered by drawing on city savings. Ogdensburg’s financial outlook has included reliance on property taxes and lost sales tax revenue as structural challenges. A prior five-year projection showed deficits increasing to $4.80 million by 2031.

The proposal follows changes to the city’s 2026 budget after an error involving $30 million in tax-exempt property was identified during an Oct. 22 work session. The city ultimately adopted a 2026 tax rate of $15.16 and made more than $96,000 in reductions. The earlier rate cut reflected an 11% increase in taxable assessments rather than a lower overall tax burden.

The City Council’s 2027 budget workshops are scheduled for Oct. 14 and Oct. 21, 2026, at 6 p.m. in City Council Chambers, 330 Ford Street. Residents can view and listen remotely, with registration information available through the city’s notices at ogdensburgny.gov.

A public hearing is scheduled for next month. The City Council is expected to adopt the final budget by Dec. 1.