Yonkers Property Owners to Receive Tax Rebates from New York State as City Stays Within 2% Tax Cap for Fourth Consecutive Year
YONKERS, NY – April 16, 2015 – (RealEstateRama) — Yonkers Mayor Mike Spano today released his Fiscal Year 2016 Executive Budget proposal at a briefing for the City Council at Yonkers City Hall.
The Executive Budget package takes significant steps towards fixing inherited structural problems in a balanced manner, while conforming to the property tax cap, maintaining City services and providing its largest contribution in history to the Yonkers Board of Education.
“The Fiscal Year 2016 Budget I present to you today is still a lean, balanced budget that strives to continue the progress we have made, with greater efficiencies and savings while staying within the confines of the state-mandated property tax cap that the City has accomplished for four consecutive years,” said Mayor Spano.
The Executive Budget for the Fiscal Year 2016 is $1.04 billion.
Municipal Budget
The Executive Budget for the Fiscal Year 2016 includes a municipal operating budget of $518 million.
The Executive Budget proposes a 1.67% property tax levy increase, one of the lowest property tax increases since 1998. By staying within the cap this year, Yonkers residents will once again be eligible to receive property tax rebate checks by New York State.
The tax rate per thousand dollars of assessed value would increase by $17.93, an increase in the tax rate of 2.56%. Under the proposal, a typical one-to-three family home at the median assessed value of $11,300 would see their annual property tax bill increase by $202, or approximately $17 per month.
The Municipal Operating Budget provides for more efficiencies and savings through reorganization efforts while maintaining the same level of services, contains no layoffs with some cuts to vacant positions. The Budget also capitalizes on federal funding that will allow the City to hire 10 additional police officers with the goal of assigning as many as 8 officers to newly-created walking posts, thus providing additional officers to police Yonkers and help maintain historic decreases in crime.
Due to the improving economy, the City expects added revenue for 2016 including an increase of $1.35 million in sales tax revenue from the 2015 Adopted Budget and the increase of nearly $250,000 in PILOT revenues.
Board of Education
The Executive Budget includes a $525 million appropriation for the Board of Education (BOE). The Executive Budget proposes no cuts to the Board of Education.
The City will again increase its Maintenance of Effort (MOE) for the BOE. This year’s $2 million increase to the MOE comes on top of a $6 million increase over the last three years, thus increasing the MOE by a total of $8 million to $212 million for FY 2016. Combined with funding $26.2 million of school district debt service, the total City contribution is more than $238 million. This is the largest contribution to the BOE in the City’s history.
Also included in the appropriation for the BOE is the municipal operating budget assumption of $9 million in administrative costs from the School District, which results from last year’s historic consolidation. The $9 million investment has allowed for the much-needed reduction of overlapping non-academic functions between the City and BOE.
Mayor Spano added, “At this point, New York State has yet to reauthorize $28 million in funding it provided to the School District last year. The State Legislature is in session for two more months so it is my hope that we will continue to work in unison as a City as we head back to Albany to support our local delegation. I ask all parties for a reset — our administrators and teachers, our parents and PTAs, all our unions and other education stakeholders – so they can join in our fight for additional funding that is so essential to our School District’s budget and in providing our students equal if not better education opportunities than our neighboring communities. We have work to do, let’s do it together.”
Budget Snapshot:
- City provides largest contribution to Board of Education in the City’s history — more than $238 million
- No layoffs of municipal employees; no cuts to vital services
- Proposes 1.67% increase in property taxes (one of lowest in ten years)
- City of Yonkers stays within state mandated 2% tax cap for 4th consecutive year; residents to receive tax rebate from New York State
- No proposed increase in the Personal Income Tax rate or in the Property Transfer Tax
- $1.04 billion total budget
Mayor Spano concluded, “As Yonkers continues to face challenges, I propose a budget that is balanced and honest, and one which protects property taxpayers. I urge the City Council to build upon the spirit of cooperation that has passed three consecutive bipartisan budgets during my time in office. While we will work to continue to provide quality education and services, I ask the public to continue in the spirit of shared sacrifice as we confront ongoing fiscal challenges.”
Read the Budget
View complete Fiscal Year 2016 Executive Budget.
