NEW HAVEN, CT – Today, Mayor Justin Elicker announced the retirement of City Budget Director Michael Gormany after over 20 years of service to the Elm City.
“As budget director, Michael Gormany has had one of the most challenging jobs in city government, and he’s served our residents and city with dedication and distinction,” said Mayor Elicker. “When I first took office in 2020, New Haven was facing a deep financial crisis unlike we had seen in decades, and we were facing a $66 million budget deficit. Director Gormany was a wise and steady hand during that time and has helped the city manage our budget in an ethical and responsible way. While we still have our challenges, we’ve now produced five straight years of budget surpluses – and, for the first time in a long time, we’re operating from a position of financial strength. That turnaround doesn’t happen without Michael Gormany at the helm, and I’m incredibly grateful for his service to our city and wish him and his family nothing but the best in life’s next chapter.”
Under Mayor Elicker’s and Director Gormany’s stewardship the City has produced five straight years of budget surpluses, and steadily increased its fund balance to its current rainy-day fund total of $43.9 million. This has been achieved through a combination of increased revenues – including the doubling of New Haven’s state PILOT (Payment In-Lieu of Taxes) funding from $41 million to $91 million annually, the increase of Yale University’s annual voluntary contribution to the city from $13 million to $23 million, and the addition of other positive revenue streams from a growing local economy and tax base – while also engaging in responsible spending that does not exceed inflation, holding the line on city borrowing to $30 million per year for critical infrastructure projects, and properly forecasting the performance of and making the required investments into the city’s pension funds.
In response to these efforts, the City of New Haven’s bonding rating has been upgraded for last two consecutive years, including most recently by S&P Global Ratings, which raised the Elm City’s long-term rating and underlying rating (SPUR) on the city’s general obligation (GO) debt from ‘BBB+’ to ‘A-’.
“It’s been an honor to serve the Elm City and to work alongside so many dedicated colleagues over my 20-plus years in municipal government in New Haven,” said Budget Director Gormany. “I’m proud of the work we’ve done to strengthen the City’s finances and its long-term financial outlook -- and, in particular, how this financial stewardship has enabled the Mayor and Board of Alders to provide additional funding for critical city services and new programs for New Haven’s children, youth, and families through the City’s Youth and Recreation Department and New Haven Public Schools. I want to thank Mayor Elicker for his leadership and my colleagues for their partnership over all these years. While there’s more to do, we’ve accomplished a lot, and I’m confident the progress will continue in the years ahead.”
Director Gormany started as an intern in the City’s Department of Finance in 1999 around the time he was graduating from high school, and then came to work for the City full-time after graduating from college in 2004. Gormany served in the Department of Finance through 2011, and then transferred to the City’s Office of Management and Budget (OMB) where he first served as an analyst. Gormany rose through the ranks at OMB and in 2017, was named the City’s Budget Director and has served in that capacity since then. In 2020, when Mayor Elicker was first sworn into office, he asked Gormany to continue to serve as City Budget Director.
The budget director oversees the Office of Policy, Management, and Grants, which provides overall strategy and direction for the City’s budget and finances with responsibilities that include budget development, budget monitoring and fiscal controls, monthly financial reports, financial forecasting, and also oversees the city grant process, among other responsibilities. The Office of Policy, Management and Grants includes the City’s accounting office, budget office, risk management and workers compensation office, treasury office, employee wellness program, and also shares audit and procurement responsibilities with the city controller.
Gormany’s last day as budget director will be Friday, April 26th, and then he will continue in a part-time capacity while the search for a permanent replacement is underway and to support the close out of the current Fiscal Year 2023-24 budget and the adoption of the Fiscal Year 2024-25 budget.
For Fiscal Year 2024-25, Mayor Elicker has proposed a $680.4 million budget, which is currently being reviewed by the Board of Alders. Per the City Charter, a final budget must be adopted by the first Monday in June, which this year is June 3rd.
PRESS CONTACT:
Lenny H. Speiller: (203) 725-4249; Lspeiller@newhavenct.gov
