Only drastic measures can transform struggling cities
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Maybe it is time for Dunkirk's elected leaders to revisit a survey taken last winter regarding a financial future for the cash-strapped municipality. That poll, commissioned by state Sen. George Borrello and Assemblyman Andrew Molitor, found that of 178 city residents questioned, 68% supported an independent financial control board.
“These results send a clear message: Dunkirk residents recognize the seriousness of the city’s financial situation and want meaningful, independent oversight,” Borrello said in announcing the results. “The city is facing a financial crisis marked by systemic mismanagement, record tax increases, and deeply troubling corruption cases. A financial control board is not about punishment; it’s about protecting taxpayers, restoring transparency, and putting Dunkirk on a sustainable path forward.”
Seven months later, through a lack of action despite lots of drama inside City Hall, nothing has improved. Expenses remain out of control while revenues, through taxes and fees, cannot keep up. No plans have been put forth in monthly committee or council meetings that even begin to make a dent in changing the outlook for the embattled city.
When council approved a more than $30 million 2026 spending plan this newspaper properly described it as underfunded. That reality came to light this week during a Finance Committee meeting earlier this week. New Comptroller Tracy Smith-Dengler painted a dismal picture noting that without an infusion of new funds, the city will run out of cash in the spring.
If council truly disdains the outside oversight, the time has come for those elected to begin seeking solutions. But beware, holding the line on payroll with the unions is all but impossible.
One more hurdle that's recently come to light are court rulings by state Supreme Court Justice Grace Hanlon who reinstated an employee that arbitration ruled could be laid off. Hanlon also backed Assessor Erica Munson's cash buyout on her health insurance -- even though Munson receives the benefit through her husband who is a city employee.
There's no disputing contractual obligations, but cash in the north-county city government has become a rare commodity. In the private sector, businesses close when they cannot abide by iron-clad agreements. In government, the squeeze for more revenue to pay a workforce's generous salaries and benefits from a lessened tax base is never-ending.
This is where it gets dicey for a majority of the public. Most residents do not want employees laid off. On the other hand, they do not want more tax increases. You just cannot have it both ways.
Dunkirk's current struggles may be the most serious in the state. But there is no disputing that without Albany's help, other cities also would be facing dire straits.
This corner has documented many times in recent months the more than $1 billion in aid for New York City and the $70 million gifted to Buffalo in the spring. Even the county's largest municipality in Jamestown is facing unsteady waters in the coming months with its budget proposal.
During a council meeting earlier this month, Mayor Kim Ecklund had three words regarding the looming proposal: “It’s not pretty.”
Is there a fix to the rising municipal costs, many that are tied to escalating union pacts? Gov. Kathy Hochul, during her August stop in Fredonia and Dunkirk, said she won't let "any community fail," expressing sympathy for the hardships.
"I would say (state) support for cities and towns and villages is up 60%," she said. "This is money from New York taxpayers that I'm directing to stabilize these localities."
Later in the discussion, she talked about promoting more efficiencies between governments. However, since New York is a "home rule" state, those efforts regarding consolidations must be made on a local level.
We've witnessed how ineffective that concept has been over the last two decades.
That brings us back to Dunkirk and the winter survey. “The residents of Dunkirk have spoken
clearly,” Borrello said. “They want accountability, transparency, and responsible financial management."
A control board, which has the ability to rework contracts and freeze wages, is a powerful tool. Without it, the city has no clout or teeth to change anything.
It just continues to stumble on its path of destitution.
John D'Agostino is editor of The Post-Journal, OBSERVER and Times Observer in Warren, Pa. Send comments to jdagostino@observertoday.com or call 716-487-1111, ext. 253.