Judge questions Comptroller’s role in Buffalo budget dispute

BUFFALO, N.Y. — After an hour of debate between lawyers representing Acting Mayor Scanlon, Council Member Nowakowski and Comptroller Barbara Miller-Williams, Judge Emilio Colaiacovo says the Comptroller’s actions “harmed” the budget process. 

“I don’t think we need to be Alexis de Tocqueville to understand the genius of our government’s functions,” Judge Colaiacovo said. “Here [an] example of that was very basically, where the government appropriated money into a budget, [the] Comptroller, however, well intended, at least based on my preliminary review, I find does harm to that process.”

The crux of the argument is does the city Comptroller have the authority to essentially veto, or her own discretion in going to the bond market, a capital budget approved by the acting Mayor and the Common Council?

Attorney Terry Connors is representing Scanlon and Nowakowski, and William F. Savino is representing the city Comptroller. 

While the legal battle between the three branches of city government formally started in September when Scanlon and Nowakowski filed an Article 78 proceeding against the Comptroller, the battle has been brewing since December, when the council approved the $110M capital budget. 

The 2025 capital budget included

• $27.2M in annual capital spending for the city.
• $55.45M for Buffalo Public Schools capital plan. 
• $27M Public Works Bond Anticipation Notes (BANs)

In court Monday, Connors argued that the city charter doesn’t outline a specific bond cap equation that the Comptroller must follow. 

“This debt ceiling cap is a self imposed debt ceiling cap, it has no substance to it, it’s no basis in law,” Connors said. “The constitutional limit of the borrowing power for the City of Buffalo, we are $1.3 billion under that cap right now.”

Connors also argued that the only the Comptroller would be relieved of exercising her duty of going to the bond market, is if something illegal was going on. 

“We see so many times what’s happening now with gridlock and crippling cities and even our states and even the federal government,” Connors argued. “Think what would happen if this comptroller had the ability to veto the lawfully enacted capital improvement budget?” 

Attorney William Savino, however, argued that the city charter gives the Comptroller ample discretion over whether or not to go to the bond market, citing two resolutions passed by the Common Council—one in 1945, and another in 1994. 

“The ’94 resolution granted the Comptroller authority quote with respect to making of determination to issue bonds and provide for substantially level or declining debt service,” Savino said. “How can the mayor read the 94 resolution as not granting the controller the ability to decide whether to issue serial bonds, if not other bonding?”

Judge Colaiacovo, however was skeptical of the argument and pressed Savino several times to city a time when the Comptroller intervened and didn’t go to the bond market for the amount approved by the Council and Mayor. 

He also pressed Savino on the legal authority to set a bond debt cap to begin with. 

“Can you point to any legal authority that permits the controller to establish the fixed and binding debt cap that the legislature, in this particular case, the common council, the executive here, the mayor is bound on?” Judge Colaiacovo asked. 

After asking repeatedly, Savino conceded. 

“No, I can’t give an example where that has been a battlefield,” Savino said. “This is the first Battlefield, and I’m sorry your honor needs to determine it, but what’s so critical is the burden on both the clear legal right and the ministerial act is on my opponent, not me.”

Judge Colaiacovo wrapped up the hearing saying a full written decision will be given by the end of the week saying “the court wants to get this matter right, so I’m going to reserve and issue a written decision. I hope to get it out by this week, because I do understand the time sensitivity here.”

City Comptroller Barbara Miller-Williams quickly left court after the hearing and had no comment as she headed to the elevator. 

Her attorney, William Savino, wasn’t optimistic that the a ruling in their favor would be rendered. 

“The judge hinted that he’s leaning towards the mayor’s position, I think it’s very clear,” Savino said. “I hope, upon deliberation, our points and papers, persuade him otherwise. But you know, I did read the tea leaves right now, we’re three point underdogs, but we’re hoping to pull it out in the fourth quarter.”