It has certainly come at a cost. Leaders in the city of Ogdensburg say for the first time in a long-time, the city is no longer at risk of bankruptcy. To get there however, it had to cut back — particularly in the area of city employees and public safety — but it's those decisions that city leaders argue as saving graces.

“The financial restructuring board, their prediction of 2023 bankruptcy, that was real,” Ogdensburg Mayor Mike Skelly said of his city.

Skelly says decisions were made that had to be made, no matter how tough, no matter how unpopular, to make sure that bankruptcy prediction did not come true.

“We could have taken the easy road and went into bankruptcy,” Skelly said. “There’s not a lot of pride for a community going into bankruptcy.


What You Need To Know

  • The city of Ogdensburg has made some very controversial decisions regarding its budget over the last two years

  • Mayor Mike Skelly says the city was extremely close to bankruptcy

  • Skelly says decisions to cut back on staff and other measures have provided the city some short-term security

Skelly adds that there was no pride in making those really difficult decisions to cut back. They were real decisions that affected real people including city personnel. There were job losses, including what became an all-out battle with the city’s fire department, which bled over into city council meetings and even everyday personal lives. It got ugly.

“We did what we had to do, from the majority City Council, to our city manager and all the staff. We did what we have to do,” Skelly added.

That city manager, Steve Jellie, says the proof is in the numbers. Closing out 2021, the city now has more than $6 million in its fund balance, enough to keep $2-3 million in it long-term. It’s a path out of what he called "an absolute mess."

“Understanding that there were many decisions made that were going to be unpopular with people, some highly unpopular. Then again, this city had been kicking the can down the road on making these decisions for too long,” Jellie said.

In getting to this point, the city was able to save $500,000 in staff restructures. It was awarded $500,000 in grants and sales tax numbers were $1 million above expectations. In the end, the city did what it set out to: stabilize government and the workforce.

“This council has taken the hard action. It’s stood by the hard action in very difficult times to get here. But it was absolutely necessary to return the city to financial strength and stability,” Jellie said.

Jellie says it’s about staying there. He says it’s not the time for the city to go on a spending spree.

“My projections show that in the next three to four years, we’ll be in the very same trouble we were in before if we are not absolutely disciplined in our spending,” he added.

A city on the rise? Well, that’s when Jellie says businesses and the tax money they bring come calling. That allows the city to grow even more.

The city has gone from nearly 130 employees before the pandemic, to now just over 90. Those who disagree with the city’s moves, believe it’s only a matter of time before cutbacks to public safety come at an extraordinary cost.