Buffalo City officials outlined a strategic approach to address potential budget shortfalls during the Budget Workshop held on May 21, 2025. The meeting focused on contingency plans and revenue projections, emphasizing the importance of proactive measures to ensure the city's financial stability.

A key discussion point was the potential for a short-term deficiency note, which would allow the city to manage cash flow if anticipated revenues, such as hotel occupancy taxes and casino revenues, do not materialize as expected. Officials noted that while it is unlikely these revenues will fall to zero, having a plan in place for such a scenario is crucial. The city could utilize this note to cover immediate expenses, with the expectation that revenues would eventually come in, particularly from the sale of city-owned parking ramps.

To mitigate budget gaps, city departments may face a 5% cut, which could result in a reduction of approximately $9 million. However, officials acknowledged that such cuts would impact city services and expressed a commitment to avoid drastic measures unless absolutely necessary. The administration is exploring various options to balance the budget while maintaining essential services.

Additionally, discussions included the rising costs of fringe benefits, particularly in healthcare, and the need for a comprehensive review of the city's prescription drug coverage. Officials are actively seeking better deals to curb these costs, which have become unsustainable.

The meeting also touched on innovative revenue-generating ideas, such as advertising on city communications and exploring the potential for monthly tax payment options to ease financial burdens on residents. These initiatives aim to enhance community engagement and provide relief to vulnerable populations.

As Buffalo navigates its budgetary challenges, city leaders remain focused on ensuring long-term prosperity while addressing immediate financial concerns. The administration is committed to transparency and collaboration with stakeholders to develop effective solutions that benefit the community.