For her fourth State of the City Address, City of Peekskill Mayor Vivan McKenzie decided to do things slightly differently. Instead of speaking from the podium, the mayor showed a pre-recorded presentation.
On Monday, March 10, attendees, including County Executive Ken Jenkins, gathered at the City Hall chambers to watch the 2025 State of the City presentation.
Before the video was shown, a color guard of five police officers led the procession, followed by a National Anthem performed by Bria the Artist, and invocation by Rev. Robert Kiltpatrick of the Park Street AME Zion Church.
In the 27-minute video presentation, McKenzie said the state of the city was strong and gave gratitude to the work of citizens, businesses, non-profit partners, city employees, and past and present Common Council members.
“I look forward to what we will accomplish next year,” McKenzie said. “Sometimes we disagree, but we always turn the page for each topic and start anew with respect for each other and what we bring to the table.”
All council members were present except Councilman Dwight Douglas who was out sick last week and Councilman Ramon Fernandez who told the Herald he was not able to attend after a dental procedure.
“Today divisiveness and discord rule the world and even our country,” McKenzie said. “We are working hard to create a city where working together is still highly valued.”
Accomplishments for 2024 and beyond
McKenzie celebrated 2024 accomplishments and highlighted investments to housing and development, infrastructure, vacant buildings, marketing, revitalization efforts and the people and businesses of Peekskill.
Some accomplishments included transformations to Fleischmann Pier ($5.5 million), Pugsley Park ($1.3 million), Depew Park ($1.2 million) and art installations throughout the city ($300,000 plus).
One of those art installations went up just one day after McKenzie’s address, at the Rt 9 Underpass at Central Avenue. Sculptures entitled “Luminated Rhythm” were made by New York City based artists Shagun Singh and Rick Lin as part of the final piece of the Enlighten Peekskill series.
On public safety, McKenzie said the fire department was able to increase its staffing in response to the city’s growth with over $1.6 million in federal FEMA funding. The police department was also able to add additional patrols over weekends and have taken the lead on the quality of life committee.
Accomplishments from the Community Hub included an Empire State Development (ESD) and Dormitory Authority of the State of New York (DASNY) grant for almost $300k secured for the renovation of the Youth Borough building, launching a community hub newsletter, and in partnership with the school district and YWCA bringing a summer camp to Peekskill.
Housing and infrastructure developments
Like many other municipalities in the county and country, McKenzie said the city has taken a major hit in terms of housing renovation costs and other costs of living, as well as rate and insurance increases.
According to the presentation, in January 2025, home prices were up 26.6 percent compared to 2024, selling for a median price of $519K. There were 20 homes sold in January, up from 11 last year.
McKenzie said the city was dedicated to adding new housing and constructing affordable housing units both as the ten percent minimum requirement and in various mixed income developments.
Examples of new housing developments were 100-106 Smith Street (6 units), the under construction 505 South St (51 apartments) and Park Place Tower (181 apartments.)
For the third time this month a city official said they were told Park Place Tower was 100 percent leased. A leasing agent told the Herald last week it was roughly 80 percent leased.
The city is also celebrating bringing new “downtown anchors” back to life, including Taco District Rooftop Bar, which recently celebrated its first anniversary, The Ford Piano building, which the city hopes to have more pop-up events, and the dormant Workers’ Compensation building that is proposed to come back with 22 lower-income apartments.
McKenzie also shared that the largest go kart race track in the nation is coming to Peekskill. On March 6, H/Q Racing submitted an application to adaptively reuse the former Bertoline building on John Walsh Boulevard as a go kart racetrack.
Marketing and Downtown Revitalization Initiative efforts
McKenzie also shared efforts to make Peekskill a destination via the Downtown Revitalization Initiative (DRI) and Momentum Award, including working with three developers to formulate waterfront development that could result in homes for sale, a boutique, a hotel, or additional rental housing.
The city used significant DRI funds to include infrastructure support for 18 businesses. For round two, there are ten applications under review with $116K total available for grants.
The city also announced a new civic hub with a new shade structure, enhanced walkways and landscaping, and a proposed sculptural pavilion to replace the Peekskill gazebo, which drew over 100,000 visitors to the neighborhood in 2024.
Also discussed was work by Trajectory Brands, Inc. to design Peekskill’s logo and brand. The city originally hired and paid Weinrib & Connor over $80,000. But it ultimately parted ways with the firm after being dissatisfied with the work, as well as a public charge against the agency led by local resident and social media consultant Chloé Wareham-Gordon.
Environmental efforts and achievements
McKenzie also touted the city providing an emergency backup water supply for New York Presbyterian Hospital in Cortland, as well as funding engineering $8 million in water infrastructure and two major sewer projects totaling over $10 million while finishing up work on the Hollow Brook Dam.
Last week Water & Sewer Superintendent David Rambo said additional engineering design is required at the dam. If the council accepts the engineering firm’s proposal construction could begin in the spring.
The city also worked with the Hudson Highlands to secure funding for purchasing 80 acres of forested land abutting the city’s reservoirs in Putnam County to protect its water supply. It also is working with the Ecological Citizens Project to install a two megawatt floating solar array.
Last year the city also saw a significant increase in food scrap collection through the Conservation Advisory Council (CAC) program at the Department of Public Works facility and Saturday Farmers Market. The city will also be conducting a street tree inventory and developing an urban forestry management plan through a state grant won by the CAC.
Year-end analysis for revenues
The city expects last year’s revenue to exceed budgeted revenue by $1 plus million. Actual expenditures are expected to be less than budget by $100k, leaving the city with an expected surplus of $1.3 million.
Revenues were able to exceed budgeted amounts due to parking fines, permits, metered parking, taxes other than properties such as sales, transfer, utility, the ARPA grant of $2.3 million.
Expenses were slightly under budget due to conservative budgeting and management staff keeping costs down where possible, McKenzie said.
The total fund balance for 2024 (which is unaudited) is $19,019,976 and the unrestricted fund balance is $5,316,809. While the fund balance has slightly decreased over the past five years, McKenzie said debt has dramatically decreased from $38.3 million to $25.1 million (35 percent).
“The state of the city is strong,” McKenzie said. “The state of the city is strong because Peekskill works together.”
The full address by the mayor can be watched here.
