Fredonia Treasurer Erlyssa LeBeau said Monday the village’s general fund has a negative balance of $888,275.

Colors are black and orange at the Fredonia Central School District, but it’s just one shade over at Village Hall: Deep red.

It’s the crimson of a 2023-24 general fund with a negative balance of $888,275, not quite the maroon of Dunkirk’s Marauders (which is actually an appropriate color for Dunkirk City Hall’s own problems).

Village Treasurer Erlyssa LeBeau bluntly laid out the bad news at Monday’s Board of Trustees meeting. She said the general fund’s balance was some $918,099 less than the same time a year ago. Meanwhile, expenses were up $687,281 from last year’s figure.

“With this being said, our fund balance is very close to being wiped out,” LeBeau said. “We saw a drop in the sales tax revenue, utility bill tax, franchise fees, and on-street parking. The ambulance revenue, although up from last year (by) $81,000, was still $275,000 short of the budgeted amount.” There was also a $33,000 increase in attorney fees, she added.

“Most expenses fell into what was budgeted. Our shortfall really comes down to not bringing in the revenue that was budgeted,” the treasurer continued. “For the current 2024-25 budget, we are going to have to make some hard budget adjustments if we do not bring in the revenue we anticipate.”

LeBeau said the village took in $470,000 less revenue compared to what was budgeted. “This cannot occur again moving forward without making the proper adjustments,” she said.

Ironically, LeBeau’s statements came just minutes after Trustee Michelle Twichell derided the fiscal situations of Dunkirk and the North County Water District. She did so in the context of her continued push against buying water from either of the entities.

LeBeau also briefly summarized the state of Fredonia’s water and sewer funds.

The water fund revenue is up $421,761 because the village applied $305,450 in American Rescue Plan Act money for expenses. The total expenses are up $452,424 due to performing work required by the Health Department, along with the LaBella study on the village’s future water supply direction. Attorney fees went up $54,000.

“The increased revenue will continue because of the (water rate) increase that was accepted with this budget,” LeBeau said.

The sewer fund had $67,303 more revenue than last year, also largely due to ARPA funds. Net income is minus $376,501.

“There have been multiple equipment issues at the plant in the last couple of months that have been addressed … there will continue to be some equipment purchases and rapids. We are looking into grant options available for these projects,” LeBeau said.