Town Supervisor Tom Dolin’s proposed budget holds a property tax levy just below New Scotland’s state imposed tax cap, while tapping less from its reserves.
Dolin released the 2015 Tentative Town Budget last week, which totals $7.2 million and holds a property tax levy increase of 1.92 percent, or nearly $49,000. The average New Scotland homeowner with a property assessed at $250,000 would see their taxes increase $10, according to Dolin. The budget allocates nearly $237,000 from the town fund balances, which is almost $97,000 less than this year’s budget.
“We are probably going to have to use some reserves, but we have a substantial amount so we won’t be falling below what we think is reasonable,” said Dolin.
Town officials are projecting around $2.69 million remaining in its fund balance, which is equal to 37 percent of its 2015 budget. This year, the town budgeted $334,000 from fund balances, but its four main funds had $146,000 going into reserve accounts.
Town Board members met Monday, Oct. 6, to review the supervisor’s budget proposal.
Board members are scheduled to meet three mores times before approving a preliminary budget. The next budget review meeting will be held 6:30 p.m. Tuesday, Oct. 14, at New Scotland Town Hall.
Dolin included a $500 raise for each Town Board member in the tentative budget, but not for himself or any other elected official. Each board member with the increase would be paid approximately $8,595 annually.
Dolin said each board member is “very active” in town operations and the salary increase is justified.
“I have been here six-and-a-half years and they have never gotten a raise, except for [1 percent] cost-of-living-allowances,” said Dolin. “I compared their salaries to other municipalities … and I felt they deserved a $500 increase.”
Retirement expenses are protected to be relatively flat next year, but medical insurance is estimated to increase around $21,500. Additional revenue from the proposed tax increase would total nearly the same, according to Dolin.
Spending across the town’s four main funds, which excludes special districts, is increasing almost $22,500, or 0.38 percent, and totals $5.8 million. The appropriated fund balance across these funds is decreasing about $105,000 from this year and totals $185,000.
Dolin said the biggest problem facing the town is declining mortgage tax revenues, which is down about $70,000. He said the decrease was felt across the county for the first half of the year.
“We are hoping our second payment, which comes in this December, will recover a little bit from that. We estimated conservatively, but we still didn’t expect a 17 percent decline,” said Dolin.
Dolin said the town is already down to a rather thin amount of employees, so there are little areas for the town to make cuts.