SARATOGA SPRINGS, N.Y. (AP) -- The city of Saratoga Springs has agreed to a $270,000 settlement package for environmental violations at the city's compost facility and public works garage.

The Department of Environmental Conservation says city workers unlawfully accepted sewage at the compost plant and allowed hydraulic fluid to leak in the garage for several years.

Under the settlement, Saratoga Springs must pay a $50,000 penalty, reimburse the state $35,000 in investigation costs, and fund $185,000 in environmental benefits projects.

The city also must hire a consultant to audit environmental compliance at its Public Works garage and compost facility and report to the DEC.

Mayor Scott Johnson says the state faced a potential multi-million dollar penalty if it hadn't agreed to the settlement.