Southern Dutchess News story on 53% Tax Increase

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By Kristine Coulter Staff Writer

FISHKILL – The board of the Town

of Fishkill failed to gain a majority

vote on the preliminary 2013 budget at

its Nov. 19 meeting. As a result, the

preliminary budget still becomes next

year’s budget by default because of the

Nov. 20 deadline set by NY State for

towns to submit a budget.

The budget has a tax rate increase of

53.34 percent for some taxpayers.

The board vote on the budget ended

in a 2-2 tie

“We can get to work making the

town as efficient as possible,” said

Fishkill Town Supervisor Bob LaColla

at the beginning of the meeting.

Before the vote was taken,

Councilman Tony Curry read a letter

from Councilman Kurt Buck, who was

absent because, it was stated, he was

not back yet from his honeymoon.

In the letter, read by Curry, Buck

stated he was “deeply concerned” with

the current budget. He thought a 21

percent tax rate increase would be better

than the proposed 53 percent.

“I am against this current budget and

would have voted no on this budget at

the public hearing,” Curry read from

the letter. Buck wrote he wanted a

more “taxpayer friendly” budget.

Curry and Councilman Brian

Callahan voted no on the budget.

LaColla and Councilman Thomas

Knips voted to accept the budget.

“I think there should have been an

extension filed,” said Curry after the

meeting, until Buck was back and able

to vote. Curry said a more temperate

and not as aggressive approach should

have been taken. The New York state

deadline for towns to adopt their budget was November 20.

Curry said the supervisor, who
according to the New York State
Comptroller website is the budget
director of the town and must submit a
budget to the board to approve, asked
that requests to speak with the town
comptroller, Dawn Lee, go through his
office “was frustrating.” Curry put
forth a four, five and seven plan at one
of the board’s October meetings. The
board voted to go with the five-year
plan at that meeting.

“We met every week (except Oct. 31
and Nov. 7) since September to discuss
this,” LaColla said after the meeting
about the budget. He said he was
“shocked” at how the vote turned out.
LaColla said his office received no
requests to meet with the comptroller.
LaColla said the five-year paydown
was voted on “and that’s what we presented.”
He added, “I think the rest of
this community wants us to do our
job.”

“I voted no because I felt the
increase was too steep,” said Callahan.
Callahan added he was concerned
about residents that are on fixed
i n c o m e .

“I was afraid if we did vote it in, people
wouldn’t be able to eat or get their
medicines,” said Callahan.

When asked after the meeting about
the vote, Knips replied, “We’ve got a
responsibility to enact a budget. We
deliberated six or seven weeks on this
budget.” Knips stated he expected
more support on the budget. He was
disappointed over the action taken, he
added.

“We worked so hard collectively as a
board. I did not become aware of any
budget problem at the board level,”
Knips stated during the meeting and
continued that he thinks the vote is
going to send a message to the rating
service.

The town’s four general funds have a
current $4.8 million deficit, according
to town officials. The A fund, town
general fund, has a deficit of
$1,380,044, the B fund, town outside
of village, has a deficit of $2,905,821,
DA fund, townwide highway fund, has
a deficit of $38,057, The DB fund,
town outside of village highway fund,
has a deficit of $505,172, according to
town officials.

The town homestead rate for 2013
would be $2.39 from 2012’s rate of
$1.56, an increase of 53.34 percent.
The village rate for 2013 would raise
7.76 percent for the homestead rate
from 2012. It would go from 74.8 cents
to 80.6 cents. For the non-homestead,
rates for the town would increase
52.51 percent from 2012 to 2013, from
$2.25 to $3.43 and for the village, an
increase of 7.79 percent, from $1.02 to
$1.08.

The public hearing was held the
prior week, Knips though asked if the
board would consider adding privilege
of the floor for the approximately 65
residents in attendance to speak if they
wished about the budget before the
vote was taken.

Resident Susan Hollister asked if
there was a way for a separate tax to
pay down the approximately $5 million
deficit, this way the money would
only be used to reduce the deficit.
Hollister stated later she thought
LaColla was in a tough position with
fixing the town’s financial situation.
LaColla said the board’s intention is
not to reallocate money during the
year.

“I know it’s asking you to trust us,”
said LaColla.
Knips stated that if there were any
line movements in the budget during
the coming year the whole board
would have to approve it.

“I can’t spend more money than I
bring in. Why is it government can
spend more money than it brings in?”
asked resident Charles Mosco. He continued,
“There’s more than enough
money. They (governments) don’t
spend it efficiently.” Mosco went on to
say that the board “ought to be
ashamed of themselves” for a 53 percent
increase in the tax rate.

“Now you’re gonna blame the prior
administration. You’re going to do
exactly what Obama does, ‘It’s Bush’s
fault,’ ” stated Mosco.

“We owe money. We have to pay it.
If we don’t pay it the state comes in
and takes over,” LaColla responded.
“We’re not spending money on ourselves.
We’re trying to deliver services


as efficiently as possible. We’re trying
to correct it now. It’s not pretty but it
has to happen.”
One resident said he did not see any
large projects on the horizon for the
town, so why not have an eight or 10
year plan to spread it out over more
than five years.
Another resident commented that the
town has to pay its bills because if it
does not “sooner or later it would
affect everyone.”
“Recently, I was reminded this is all
about the taxpayer,” said Knips. He
went on to say the town made “severe
cuts” last year.

“Any significant event could have
put the town in deficit again,” he said.
He stated the 2012 budget was a “very
fragile budget.” Knips told those in
attendance Moody’s Investors Service,
credit agency, has the town at just
above junk bond status. Moody’s reaffirmed
the Baa3 rating for the town
earlier this year. If the town gets its
credit rating improved, overall money
will be saved, Knips said.

In the past couple of years, said town
officials, 25 positions have been eliminated.
“I’m hoping the cost-cutting we’ve
taken in 2012, the management in
finance we’ve taken, and the budget
that we’ve gotten through will say
more than board members sitting
silent,” LaColla said.

When asked what he thought the
vote said to residents, LaColla
responded, “Politics are alive and well
in Fishkill.”

The 2013 budget can be viewed on
the town’s Web site at www.fishkillny.
gov.