Democratic County legislators are once again touting a budget after approving a 2012 plan with no property tax levy increase.
The Schenectady County Legislature on Wednesday, Oct. 19, voted 13 to 2 to approve the 2012 budget, with both Republicans voting in dissent. The budget totals $295.3 million and kicks in starting Jan. 1.
After amendments offered from the Democratic majority the overall property tax levy holds no increase. Also, amendments to the approved budget restored $50,000 for home delivered meals to seniors and provided a $60,000 grant to support a suicide prevention program at Schenectady High School.
“This year’s zero percent increase is in addition to four tax cuts in the past six years,” said Judy Dagostino, chairwoman of the Schenectady County Legislature. “Even with an increase in unfunded mandates passed down to counties by New York State, we worked extremely hard to reduce the burden on taxpayers while protecting vital services.”
The amendment eliminating the previous 1.5 percent tax levy increase included in the tentative budget for 2012 did raise contention from Minority Leader Robert Farley. Democrats argued sales tax revenues are increasing and the county manager’s original figures came in a little below estimated revenues.
“We went back and looked at our sales tax revenue and realized it has been increasing significantly from year to date,” said Dagostino. “We were able to increase the amount of sales tax revenue we would be expecting this year.”
Farley lambasted the amendment.
“I don’t think it is very prudent as someone that has a responsibility to the taxpayers to turn around and overestimate that at a level of substantial increase,” Farley said. “Where local governments run into problems fiscally is not by turning around and not spending too much money … it is overestimating revenues. To turn around and take an estimate provided by our professional manager … and simply increase it to do away … [with a] tax increase is not prudent.”
Dagostino said Farley’s claims are “just a difference in opinion” and the sales tax revenue figures do show an increase.
County Legislator Philip Fields, D-Schenectady, said based on the sales tax revenue figures already collected for 2011 as of Sept. 30 the county is at 79.6 percent of the amount budgeted for this year. This figure represents an 8.8 percent growth in sales tax revenue compared to the same time period in 2010.
“If we had kept the same amount of money we received in … 2010, [the county] would have collected over $3.6 million more than what we were budgeted for the last year,” Fields said. “If we decide for next year to grow only 1 percent of what we think we might end up with this year … was enough to offset the property taxes.”
Fields said even if the sales tax revenue does fall short of the “conservative” estimate for 2012, the over budgeted sales tax revenue received in 2011 would be placed into the fund balance and could help offset a shortage.
26 positions will be eliminated through attrition. Over 200 positions have been eliminated through attrition over the last six years.
“After a line-by-line review of the manager’s budget and hearing directly from the public, the Majority Conference presented amendments that will keep property taxes flat for 2012,” said Gary Hughes, Schenectady County Legislature majority leader. “We are proud of the work we’ve done to find solutions to ease the property tax burden on our residents.”
Farley did present amendments to the budget, but the Democrat majority voted them down. In part, they proposed a moratorium on financing and new construction at the Glendale Nursing Home and a resolution to vote on preserving the land next to the nursing home, known as Indian Kill Field, as parkland and forever wild.
“[The new Glendale Nursing Home] may be something the county needs, but we shouldn’t go into this without an assessment or any idea on how this is going to cost,” Farley said.
Estimates have pinned the cost of building a new nursing home at about $50 million, and Dagostino said the legislature plans to stay within that figure.
