In a recent statement, Senator George Borrello addressed concerns over the financial management of Dunkirk, criticizing Mayor Wdowiasz for allegedly issuing misleading public statements regarding the city’s fiscal condition. According to Borrello, Dunkirk residents are suffering from years of financial mismanagement and a lack of transparency.
Borrello refuted claims made by the mayor that the Comptroller’s Office was responsible for delays in issuing deficit bonds. He clarified that the Dunkirk Fiscal Recovery Act allowed the city to issue up to $18.5 million in deficit bonds only after certification by the State Comptroller, which has not occurred due to missing documentation from the city.
The senator highlighted repeated failures by Dunkirk to meet deadlines for submitting necessary financial reports and pointed out deficiencies in these documents when submitted. The Comptroller’s Office has expressed concerns about unreliable financial records for nearly a year without any reported progress or requests for guidance from the city.
A proposed $13 million loan at 7.75 percent interest over 15 years is also under scrutiny by Borrello, who argues it would exacerbate Dunkirk’s financial issues without addressing underlying problems. The loan requires forfeiting an annual $1.5 million Aid and Incentives for Municipalities (AIM) payment over 15 years, resulting in a loss of $22.5 million in direct state aid.
Borrello questioned whether existing reporting obligations would be honored under new agreements if they are currently being ignored. He advocated for establishing a financial control board to provide accountability and restore order in Dunkirk’s finances.
“The residents of Dunkirk deserve the truth,” stated Borrello, emphasizing responsible leadership focused on long-term recovery rather than short-term solutions that could worsen their situation.
He concluded with his commitment to pursuing accountability and supporting Dunkirk residents.
