SYRACUSE -- Syracuse Mayor Stephanie Miner delivered her budget proposal to the Syracuse Common Council Friday morning, promising to maintain the current property tax rate by balancing rising retirement costs with a cut in departmental spending.

According to the mayor’s office, the 2011-2012 city budget calls for no increases in property taxes, water, and sewer rates. The mayor says this will be accomplished by  cutting more than $2 million in spending by city departments, through a wage freeze for many city employees, a reduction in police overtime, and cuts to the fire and police department staffs. City Hall says employee wages and pensions are “by far, the single most important factor in determining expenditure growth. Major increases in the employee and retiree costs for health insurance, as well as large increases for pensions, are key cost drivers in this year’s plan.” They say these rising costs had to be balanced by reducing other expenditures.

The mayor’s office says the total upcoming budget is $617.7 million, of which $334.1 million goes to the city school district. Miner says the school district budget is $16.1 million less than 2008-2009, achieved by cutting 500 staff positions, closing Bellevue Middle School, enacting a union wage freeze, and offering early retirement incentives.

The city expects to receive increased sales tax revenue as a result of the new sales tax deal with the county, as well as having to dip into $13 million from the city’s reserves, a $1.5 million federal early retirement reimbursement, and a $400,000 increase in parking meter receipts. The mayor cautions that use of the reserve fund money leaves only about $20 million in the coffers, and continued use of that money could lead to an eventual downgrade of the city’s bond rating.

Click here to download and read a copy of the full budget proposal.