Fees won’t be increasing and fund reserve usage continues to decrease, but taxes will go up under the 2012 budget adopted by the Glenville Town Board.
The Republican board unanimously approved next year’s budget that totals just over $18.24 million and falls under the state-mandated tax cap, which for Glenville was a 3.2 percent tax levy increase. After allowable exclusions from the tax cap, the levy comes in at a 1.8 percent increase. Out of the town’s three main funds — general, town outside the village and highway — spending is decreasing by nearly $155,000, totaling $11.6 million for next year.
The average Glenville resident with a house assessed at $173,000 will see their taxes increase by about $18, for a total of $571 on 2012’s tax bill. The average Scotia resident with a house assessed at $124,000 will see their taxes increase by about $2, which totals $107 next year.
“I think this is a good, solid, responsible budget and I’m proud of it,” said Glenville Supervisor Christopher Koetzle.
The only significant change in the adopted budget from Koetzle’s tentative budget is the board took out the 1.75 percent pay raise for itself and the supervisor. The overall cost for all five members to receive a 1.75 percent raise was $1,151. The two remaining elected officials salaries, town clerk and highway superintendent, still hold a 1.75 percent raise.
Koetzle touted the decreased spending in the three main funds before voting on the budget.
“This budget, for the first time in a long time, cuts operational funding by $150,000,” said Koetzle. “That continues the trend we started when we cut non-mandated spending last year by $200,000 through staff reductions.”
There are no layoffs budgeted, but there is a six-month hiring freeze for the first half of 2012, which is estimated to yield around $150,000 in savings. The open positions to remain unfilled during the freeze include a police detective, deputy town clerk and deputy highway superintendent.
Koetzle also spoke of the board’s efforts to reduce fund balance usage despite a difficult economy and rising mandated expenses.
“We knew that we had to back off of that because it is a dangerous situation,” said Koetzle. “That was a decision this board wanted to take to try to get us in a better, stronger fiscal position in the future.”
The board last year reduced fund balance usage by $200,000, or 15 percent, and the adopted 2012 budget reduces usage by $351,000, or 32 percent, which brings 2012 total fund reserve usage to $815,500.
Projected revenues for next year remained relatively flat, with a $21,000 increase from 2011 scheduled, said Koetzle.
Health insurance and pension growth is where costs are continuing to grow. Through recent union concessions, the board was able to cut about $150,000 in health insurance costs.
“This year our pension costs, which are out of our control, went up over 20 percent or almost $200,000,” said Koetzle. “We absorbed all these increases, yet we have also decreased our spending.”
Councilman Sid Ramotar said creating the budget meant making difficult decisions on where to cut spending.
“When you have a crisis with the economy you have to make tough decisions and we were forced to do things to be fiscally responsible that some people may not like,” said Ramotar.
Councilwoman Gina Wierzbowski said fiscally responsibility needed to continue as the town moves forward.
“I just hope that future boards will continue to do the same types of things that we are doing trying to find ways to save money, trying to find ways to work outside of the box,” said Wierzbowski.
