Arnold councilman calls for spending freeze as city faces $200k shortfall

Concerns about Arnold’s finances prompted one councilman to call for a halt to spending.

Councilman Phil McKinley, the city’s director of accounts and finance, made that pitch at a recent council meeting.

It came amid a projection by City Manager Mario Bellavia that Arnold is facing a $200,000 deficit as city officials begin preparation of the 2026 budget.

“I’d like council to consider a spending freeze — and I’m not talking about for the next two months,” McKinley said.

“We don’t get our tax money until next year.”

The city has struggled to get even or on the plus side of the financial ledger for a number of years and apparently this year is no different, according to Bellavia.

At council’s September meeting, he listed a number of factors contributing to the shortfall. Among them were a 32% increase, about $3,000 monthly, by West Penn Power for electrical service; $30,000 for repairs to a sewage pump station; legal fees that are $20,000 over budget; and a $62,000 payment to the police pension plan.

During the October meeting, he added another one: fees the city pays to the New Kensington Sanitary Authority for treatment of the city’s sewage. He said the original figure for that was $1 million but now has climbed to $1.25 million. Also, Bellavia said, a previously projected increase of $22,000 in health care insurance premiums is now $24,000.

“Our emergency fund is down by half,” McKinley said. “It’s been a terrible year for all of us.”

There was no formal action or further discussion of the spending freeze proposed by McKinley.

“Moving forward, just please, please look at what you are spending,” McKinley implored fellow city officials.