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CORRECTION: Town employees received a 1.5 percent salary increase in 2011, but salary increases for the 2012 budget year have not yet been negotiated with the town's unions. Neither elected officials or employees received a salary increase in the 2010 fiscal year.
CORTLANDT, N.Y. Without fanfare or fuss, the Cortlandt Town Board unanimously approved Supervisor Linda Puglisis proposed budget for the 2012-2013 fiscal year. Town taxes will increase slightly in the Town of Cortlandt and the two villages, Buchanan and Croton.
This has been an extremely difficult time in our economy, in our country, which of course cycles down to our local government, said Puglisi, noting the town this year faced hundreds of thousands of dollars in storm damage, lost revenues and increased expenditures.
The town budget stays within the mandated 2 percent tax cap levy, at 1.4 percent, but residents actual tax rates will increase over 2 percent, since the two numbers hold an indirect relationship. Falling revenue from mortgage tax, sales tax and lower tax rolls caused tax rates to increase on individual residents.
Tax rates given are estimated for homeowners with an assessed value of between approximately $7,500 and $10,000, said Puglisi. For the unincorporated Town of Cortlandt, tax rates will increase 2.2 percent, or about $36.90 per year, for an average annual bill of $1,643.
For the Village of the Buchanan, the average homeowner will see a tax rate increase of 3.8 percent, a $6.40 increase, for an average annual tax bill of $171 for the town.
The average Village of Croton resident will pay an additional $10.91 per year, a rate increase of 4.5 percent, for an average annual bill of $204.
Rising expenses have also contributed to rising taxes. This year the town was hit with an additional $736,000 in health care costs and pension contributions. Pension contributions are mandated by New York State, and municipalities do not have control over these costs. The town also cited gasoline, fuel and supply costs as driving up the budget.
The town estimates the cost of the years two biggest storms, Hurricane Irene and Octobers nor'easter, at about $345,000. It remains unclear if the cost of the snowstorm, $225,000, will be partially reimbursed by FEMA.
The town also lost about $185,000 in revenue through tax certioraris and the assessment grievance process, where homeowners or commercial enterprises can challenge their property assessments. Property tax assessments are directly related to the amount a homeowner pays in taxes each year.
Town employees received a 1.5 percent salary increase in 2011, but salary increases for the 2012 budget year have not yet been negotiated with the town's unions. Neither elected officials or employees received a salary increase in the 2010 fiscal year.
The towns credit rating remains strong, rated AA by Moodys. There is $15 million in the towns various reserve funds. The total budget is just under $36.5 million.
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