To the editor:
Although woefully behind schedule, Sleepy Hollow’s FY22/23 audit received a “clean” rating, with “the highest level of confidence.” We have received this affirmative rating over the past decade.
The 22/23 audit represents my final year as Mayor. It indicates that Village finances were not in disarray as characterized by some candidates in the last two Village elections. It also implies that the FY24-25 tax increase of 14.8% is unjustified.
One reason given for increasing property taxes was the need to replenish the fund balance. In fact, the audit shows that the 22/23 fund balance increased by nearly $1million. It is more than unfortunate that the Village Board had to adopt a budget without having that audit in hand.
As a Village government, we planned for increases to the annual operating budget as the size of our Village population increased from 10,000 people to approximately 13,000. We would hire more staff, more police officers, more people in Public Works. The funding for these hires and services would be offset by the new tax revenues coming from the Edge town houses, condominiums, and rental units, and not our current taxpayers. (FYI, no assumptions on new tax revenue from office space and retail establishments were in our financial forecasts. A conservative approach, yes, but a wise one.)
The development of the capital projects that the Village began during my tenure were timed to align with monies raised from fees as defined in the agreement with Edge on Hudson; state and federal grant dollars; sale of certain Village-owned properties; and through bond financing. The Local Development Corporation secured a very favorable borrowing rate so the Village could front load the design and construction of the critically needed DPW facility. As funding was identified, the new recreational fields and parklands — as outlined in the 2019 Comprehensive Plan drafted by Village residents — would begin construction.
The new DPW facility to be constructed on the East Parcel is a priority. The existing DPW on River Street across from Horan’s Landing is decrepit and could be leaking oil, salt and other toxins into the Village drainage system and into the Hudson River. Our DPW staff should have a safe, sustainable, and well-designed space to work from, where the Village shows it values their service. (But that’s just me. Others differ.)
The current administration misconstrues “borrowing” as something bad. Bonding for capital projects spreads major expenses over decades. It ensures that future taxpayers who will benefit from those capital improvements share the financial burden; our current taxpayers should not shoulder that burden alone.
To develop more accurate budgets, the Board must receive audits on time — no later than December. Regarding income, they should ask: where is Edge in terms of sales and sale prices; how many building permits have been issued; with commercial entities starting to come online, what is the expected tax revenue over the next five years? The timing of these variables is (obviously) especially important. And budgeting the annual expenses for services needed for our new Edge neighbors should not be difficult.
Ken Wray
Sleepy Hollow
