The City of Albany is preparing to borrow $10 million to cover employee salaries and other operating expenses as the state capital struggles with a growing financial crisis.
City Treasurer Darius Shahinfar plans to issue $10 million in revenue anticipation notes (RANs), short-term borrowing that will be repaid on February 24, 2027, using anticipated tax revenues.
The borrowing comes as Albany faces a projected $22.18 million deficit for 2026 and an additional $33.3 million budget gap in 2027.
The city has also exhausted financial reserves previously used to cover operating expenses.
Shahinfar said the borrowing is necessary because major revenue sources, including sales tax receipts, do not arrive until January.
The financial situation has raised concerns among city lawmakers about spending oversight and accountability.
Council members are also considering budget cuts, including potential layoffs and reductions in youth employment programs.
Albany’s financial crisis raises serious questions about the city’s ability to manage taxpayer money and maintain essential services.
