Poughkeepsie Journal story on 2012 Fishkill budget

http://www.poughkeepsiejournal.com/article/20111124/NEWS01/311240002/Fishkill-budget-slows-deficit-cutting-efforts

Written by Susan Campriello Poughkeepsie Journal, for more. Go to the papers website or subscribe to it as I do.

FISHKILL — Residents and officials in the town believe its $8.06 million 2012 budget will delay the town’s completion of its deficit-reduction schedule.

The spending plan, approved this month by the Town Board, represents a $150,000 decrease from the current budget, and includes a $6.58 million tax levy, or the amount to be raised by taxes, town Comptroller Robert Wheeling said.

The levy is an increase of 3.61 percent over 2010. Wheeling said it meets the state’s mandated 2-percent cap because it is only a 1.61 percent increase when adjusted for the town’s growth rate.

The tax rate for residents will rise by 13 cents, to $1.75 per $1,000 of assessed value, and the non-homestead rate will increase by 4 cents to $2.22 per $1,000 of assessed value, he said.

Owners of a home assessed at $500,000 will see a tax increase of $65, he said. The budget includes $738,000 for deficit reduction. The town’s five-year plan to reduce a $1.3 million deficit drafted last year called for the town to set aside $955,000, he said.

“The 2-percent cap screwed that up or else we would have budgeted to make that,” he said.

Wheeling said the plan could take six additional months or an additional year to complete. But, he noted that the schedule could change yearly.

Fishkill resident Thomas Knips, chairman of the town’s planning board, would have preferred that the town try to override the cap so more money could be set aside for deficit reduction.

“It is important to keep an emphasis on that plan,” he said.

Knips has enjoyed low tax rates for several years, he said, adding that perhaps now is the time for people to pay more so that in the future they will pay less. Supervisor Joan Pagones said she did not consider overriding the cap because she did not want to raise taxes on residents.

The town spent $594,000 this year to reduce the deficit, Wheeling said.

The budget reduces spending on salaries for the supervisor, new council members and some town employees, according to officials.

“Dollars & Sense” explores fiscal or financial issues that affect the public. Reach Susan Campriello ar scampriell@poughkee.gannett.com or 845-451-4518.