Peekskill Approves 2014 Budget with 1.88% Tax Hike
The Peekskill Common Council last week unanimously approved a $35 million budget for 2014 that carries a 1.88% tax increase, half of what was proposed in the city manager’s spending plan.
The budget, the last under Mayor Mary Foster, falls below the state mandated 2% tax cap and doesn’t increase water or sewer rates.
“It’s a very realistic and achievable budget,” Foster said. “It does the best to protect our taxpayers, is fair to our employees and provides essential services that meet the needs of our residents and our businesses.”
Faced with a $2.6 million pension bill from the state for its workforce, the salaries and benefits for which make up 73% of the budget, the council agreed to utilize $100,000 from the city’s fund balance, an account it was hoping not to tap into.
Foster explained the budget includes funding to increase police, fire and code enforcement overtime, structure the Kiley Center recreational programs, upgrade the city’s website and social media tools and “capitalize on developer and broker interest from the City Showcase” held in the fall.
In addition, $695,000 is set aside in a designated fund for the future construction of the Central Firehouse, $440,000 is allocated for outside attorneys, despite newly elected Mayor Frank Catalina’s pledge to eliminate that expense, and $40,000 is budgeted for planning consultants to possibly update Peekskill’s 60-year-old Master Plan.
“We are defending ourselves against two lawsuits which are significant” Foster said of outside attorney’s expense. “You don’t know what to expect with lawyers.”
Several residents opposed some of the budget items, including George Ondek, who maintained Peekskill was in a position to offer residents a tax break.
“The beleaguered taxpayers of Peekskill have been very beleaguered by your nuisance fees,” Ondek remarked. “We should have had a decrease, not a tax and spend increase.”
Ondek said Peekskill officials should take a cue from neighboring Cortlandt in terms of proper budgeting, but Foster and Deputy Mayor Drew Claxton insisted it’s unfair to compare a city to a town.
“The Town of Cortlandt does not pay for a police department or a fire department. I don’t believe we’d ever be in a position that we would want to do that,” Claxton said. “We have costs that are associated with providing services to our residents.”
Foster added, “We don’t have special districts that towns are allowed to have.”
Rick has more than 40 years’ experience covering local news in Westchester and Putnam counties, running the gamut from politics and crime to sports and human interest. He has been an editor at Examiner Media since 2012. Read more from Rick’s editor-author bio here. Read Rick’s work here: https://www.theexaminernews.com/author/pezzullo_rick-writer/