City Hall has enacted a spending freeze due to tanking revenues amid the Covid-19 crisis, and local restaurants began daily deliveries of 1,000 meals to health workers at Yale New Haven Hospital.
Those were among the latest updates on the pandemic Monday.
At his daily Zoom press briefing Monday, Mayor Justin Elicker said the freeze went into effect because of significant drops in revenues from tax collections, parking tags, building permits, and meters. He didn’t have an immediate estimate handy of the lost revenue.
City department heads were informed of the freeze in a Sunday memo from Budget Director Michael Gormany. He said the city has instituted a “complete expenditure freeze” outside of contractual obligations and “essential services related to public safety.” The memo also announced a hiring freeze. Read the full memo at the bottom of this article.
Also at Monday’s press conference, officials reported:
• New Haven has 1,134 confirmed officially reported Covid-19 cases, including 28 officially reported fatalities. Half of the people who have died are African-American.
• Seven people in total have stayed at some point in the temporary shelter set up at Career High School for people who have contracted Covid-19 but do not require hospitalization. Four people are currently staying there, with a fifth expected Monday night.
• APT Foundation has donated 2,000 masks to the fire department.
Meanwhile, Frontline Foods, a consortium of local restaurants, began a daily run of at least 1,000 donated meals to workers at Yale New Haven Hospital’s two main New Haven campuses. Click here to read a press release with details about that; click here to read a previous story about the coming together of the group.
Text Of Budget Freeze Memo
From: Michael Gormany
Sent: Sunday, April 19, 2020 12:57 PM
Subject: Expenditure Controls for General Fund (Non-COVID 19 related items)
TO: All Coordinators, Department Heads, and Fiscal Personnel
RE: Non-COVID-19 General Fund Expenditures
As we face new and unique challenges in confronting the COVID-19 epidemic, The City of New Haven is prioritizing the health and safety of employees, residents, and businesses. The fiscal capacity of the City of New Haven relies on a healthy economy for our revenues. As the COVID-19 pandemic continues, the effect on the City’s bottom line will be driven not only by overall economic conditions but specifically the parts of the economy where revenue is generated. The City has already experienced a significant decline in Tax Revenue, Parking Tickets, Parking Meters, and other locally generated revenue; likely ending the fiscal year in a higher than anticipated deficit for FY 2019 – 20.
The Office of Management and Budget will be implementing a complete expenditure freeze for the City of New Haven. Only essential services related to public safety, contractual obligations mandated by the City. This will be effectively immediate. Departments are encouraged to have vendors submit invoices AS SOON AS POSSIBLE. Purchases for non-essential items (not related to COVID-19) such as furniture, equipment, office supplies, and new consulting and professional services are not permitted as of the date of this memorandum. Any purchases should be sent to the staff of Management and Budget prior to being purchased or requisitioned.
Department Heads should send request to the following OMB staff with a CC to their coordinator;
Michael Gormany
Ron Gizzi
Allison Champlin
Lisa Mezzanotte
Purchase orders will begin to be de-commissioned (liquidated) beginning Monday. OMB will work with each department fiscal personnel. OMB will make the determination on whether services not related to COVID-19 will continue.
In regards to hiring, there will be a hold on hiring. If a department has an immediate need, the department head should email the following individuals with a CC to the coordinator
Michael Gormany
Stephen Librandi
Scott Jackson
Susan Baldwin
These steps are being implemented to maximize savings of expenditures to offset some of the revenue losses the City will experience.
If you have any questions, please feel free to contact me.