Village of Tarrytown Tentative Budget

1. Village of TarrytownTentative Budget Fiscal Year 2012 – 2013 June 1, 2012 through May 31, 2013

2. Tentative Budget FY 2012-2013 • First year for State legislated 2% Tax Levy Cap • Cap is not a tax cap • Municipality can have a tax increase that is higher than 2%

3. Tentative Budget FY 2012-2013 • Village tax levy in FY 11-12 budget = $14,158,885 • $14,158,885 x 2% = $283,177.70 • Village can levy $14,442,062.70 in taxes and be within the tax levy cap

4. Tentative Budget FY 2012-2013 • Certain expenditures can be excluded from the tax levy cap • Pension increases beyond 2 percentage points can be excluded from tax levy cap • Pension for Police increased by 4.2 percentage points – 2.2 percentage points are excluded from the cap • $70,644.09 excluded from tax levy cap

5. Tentative Budget FY 2012-2013 • Pension for all other employees increased by 2.6 percentage points - .6 percentage points can be excluded from tax levy cap • $38,824.84 can be excluded from tax levy cap Total amount that can be excluded from the tax levy cap in tentative budget is $109,468.93

6. Tentative Budget FY 2012-2013 Calculations Proposed Tax Levy in Tentative Budget $348,314 Amount that equals 2% of tax levy from $283,178 levy from FY 2011-2012 budget Pension increase cost excludable $109,469 from tax levy cap Proposed tax levy with pension cost $238,845 exclusion Tax levy increase percentage with pension 1.68% cost exclusion

7. Tentative Budget FY 2012-2013 • Loss of assessables is not included in the tax levy cap calculation • Village tax roll decreased by $1,249,585 from current budget • Dollar value loss of assessables = $325,254 • Tax rate value of loss of assessables = 2.1%

8. Tentative Budget FY 2012-2013 • Major factors impacting upon tentative budget • Loss of Assessables • Dollar Value - $325,254 • Tax Rate Value – 2.1% • Increase in State controlled pension program • Dollar Value - $303,107 • Tax Rate Value – 1.95%

9. Tentative Budget FY 2012-2013 • Service Awards Program – payment date changed in FY 11-12 budget • Dollar Value - $265,000 • Tax Rate Value – 1.7% • Debt Service – state mandated conversion from short term debt to long term debt • Dollar Value - $328,873 • Tax Rate Value – 2.12%

10. Tentative Budget FY 2012-2013 • Factors offsetting tax rate increases • Sales Tax – increase of $110,000 • Rental of property – increase of $57,378 • Parking Lot revenue – proposed permit increases to generate $40,000 • Building Permit revenue – proposed fee increases plus increases in construction to generate $90,000

11. Tentative Budget FY 2012-2013 Increase in Village costs plus loss of assessables, offset by non-tax revenue increases generated a draft tax rate increase of 6.17% Draft tax rate increase prompted another evaluation of tentative budget to determine areas of modification to reduce proposed tax rate increase Additional modifications to various budget lines generated minor reduction to proposed tax rate increase Final area for consideration to reduce proposed tax rate increase - personnel

12. Tentative Budget FY 2012-2013 • Proposed personnel modifications include one layoff, two full time positions modified to part time positions and the elimination of one permanent part time position • Proposed tax rate increase in tentative budget with proposed personnel modifications is 4.87%

13. Tentative Budget FY 2012-2013 GENERAL FUND Appropriations $21,118,124 Non-property tax revenue $ 6,010,925 Fund Balance Appropriation $ 600,000 Amount to be generated from $14,507,199 Real Estate tax levy

14. Tentative Budget FY 2012-2013 Proposed tax rate - $272.96/$1,000 of assessed valuation Increase of $12.67/$1,000 of assessed valuation Average single family home assessment in Tarrytown = $15,600 (per Village Assessor) Proposed tax rate = $197.65 for property owner with average Village assessment

15. Tentative Budget FY 2012-2013 WATER FUND Appropriations $3,434,056 Revenues $3,434,056 Budget reflects an increase of $227,085 or 7.08% Increase in budget based upon increase in cost of water purchased from New York City, increase in cost of electricity and increase in NYS pension costs

16. Tentative Budget FY 2012-2013 Appropriations $1,549,307 Funding Sources Village of Tarrytown $ 742,378 Village of Sleepy Hollow $ 649,929 Other (Fund Balance, $ 157,000 Fines, Endowment Interest, Westchester Library System) Decrease in cost from FY 11-12 of $3,880

17. Tentative Budget FY 2012-2013

18. Tentative Budget FY 2012-2013 April 8, 2012 – Reuters reported on the economic impact of local government jobs, noting that many cities and counties nationwide are cutting their workforces. A recent report by the Economic Policy Institute stated, “If public-sector employment had grown since June 2009 by the average amount it grew in the three previous recoveries (2.8%) instead of shrinking by 2.5%, there would be 1.2 million more public-sector jobs in the US economy today.”

19. Tentative Budget FY 2012-2013 April 11, 2012 – Brookings Institute Reprint of December 15, 2011 Article “State and Local Budgets in 2011: The Crisis that Didn’t Happen (Yet?) “Although the private sector added jobs in 2011, state and local governments have been shredding them since 2008. Overall, state and local governments have cut 640,000 jobs (3.2% of payroll) since August 2008 and they show no signs of hiring again anytime soon.

20. Tentative Budget FY 2012-2013 Tarrytown Comparative Numbers for 10 year period FY 02-03 to FY 11-12 Assessables From $63,409,000 to $54,397,000 – loss of 14.2% Staffing From 101 full time staff to 95 full time staff – reduction of 5.9%