Jamestown Mayor Kim Ecklund focused on city finances in her 2026 State of the City report.
Ecklund released the report to City Council members on February 6.
She said rising costs, limited revenue growth, and the expiration of one-time funding sources are affecting the city’s financial position.
The report stated that in 2025, city revenues declined by approximately $663,308, while expenditures continued to rise. As of the most recent reporting, the City’s total fund balance stood at $7.365 million, with an unassigned balance of $4.99 million. This represents approximately 10.8% of annual spending, below the Government Finance Officers Association’s recommended benchmark of 16.7%, or two months of operating expenditures.
The City has also continued to draw down on the fund balance to help balance the 2025 and 2026 budgets. Ecklund said while the use of the fund balance has helped stabilize operations in the short term, continued reliance on reserves is not sustainable.
Another item affecting city finances is the ending of one-shot revenues such as the American Rescue Plan Act funds.
The renewal of Temporary Municipal Assistance from New York State is also uncertain. The city received $530,940 in both 2024 and 2025. Ecklund said while the Governor’s proposed 2026–2027 State Budget extends Temporary Municipal Assistance for one additional year, approval and appropriation remain uncertain. She added that unfunded State mandates like the jail matrons and mandatory cybersecurity reporting and training are continuing to add costs without reimbursement.
State Aid through the Aid and Incentives for Municipalities (AIM) program has remained flat at $4,572,280,
Ecklund said fixed obligations account for an increasing share of the City’s annual budget. In 2026, wage-related costs are projected to increase by $770,479 compared to preliminary 2025 year-end figures. Retirement contribution rates are increasing by 9.41%, with Police and Fire rates rising by 11.9%. Ecklund said rising health and dental insurance premiums, a 5% increase in property insurance, and escalating utility, equipment, and maintenance costs continue to place sustained pressure on the operating budget.
Emergency Medical Services (EMS) revenue continues to fall short of original projections. A new EMS vehicle, budgeted in 2024 to expand service capacity and generate additional revenue, did not become fully operational until November 2024, limiting the City’s ability to accurately project 2025 revenues. Ecklund said that actual reimbursements remain below initial expectations, reflecting broader national trends of delayed and reduced EMS reimbursement rates faced by municipalities.
A highlight noted include agreements reached with City unions in 2025 including the Civil Service Employees Association (CSEA), the Jamestown Professional Firefighters Association, and the Kendall Club Police Benevolent Association. Negotiations with the Jamestown City Administrative Association (JCAA), the Jamestown Urban Renewal Agency (JURA), and Local 418 American Federation of State, County & Municipal Employees (AFSCME) continued, with the goal of completing all remaining city union contracts in 2026.
Ecklund said that, “Looking ahead, every decision the City makes must be grounded in fiscal reality. Sustained cost pressures require careful prioritization, difficult tradeoffs, and ongoing evaluation of how limited resources are used. Working in partnership with the City Council, City employees, and residents, the Administration remains focused on core services, public safety, infrastructure, and neighborhood stability—delivering practical, visible results while safeguarding the City’s long-term financial health.”
The full 2026 State of the City report is available on the City of Jamestown’s official website at www.jamestownny.gov.
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