Supervisor outlines budget process: Line-by-line review is next 

The Town Board’s initial budget workshop was an introduction from Supervisor Amber Brach-Williams on factors that affected her draft.

In a close to a two-and-a-half hour session on Sept. 11, the supervisor explained why she raised or lowered various numbers from the current year’s budget. She began with expenses in the current year. Some remain flat, but others — salaries and benefits, equipment needs that would change from year to year, contractual agreements containing increases for services — would need to change.

Contingency budget changes based on best estimates of how much could be needed to meet actual, instead of estimated, expenses are best accounted for with specific expense lines, to as opposed to simply listing them in an unallocated line. 

Expenses aren’t the only side of the budget that changes. Revenue expectations can require attention as they are affected by interest rates, estimates of what some departments bring in — the Highway Department’s ability, for example, to sell certain materials, and how those sale prices might vary.

Mortgage taxes have been declining, Ms. Brach-Williams said. In 2023, the Town received $553,000 in that revenue stream, largely through property taxes. They dropped to $315,000 in 2024 and to $178,000 this year. If earlier this year it was anticipated that mortgage tax revenues would continue to fall, that now appears not t be the case. Ms. Brach-Williams said at the end of the second quarter of this year, a spike is seen generating $360,000. That’s significantly higher than the supervisor anticipated. 

There are also ways of redirecting some income from fees and grants that come in to some departments and committees, she said.

The Waterways Management Advisory Council (WMAC) takes in fees from residents adding docks, bulkheads and other structures to their property, The money stays with the council to be tapped for repairs to structures at Town landings. But Ms. Brach-Williams said she spoke with Bill Geraghty, WMAC Chairman, about some of that money being transferred into a  reserve fund for major projects that crop up from time to time at Town landings. She said he agreed.

Another transfer that appears likely is for money previously allotted to the Community Housing Fund’s operating expenses, that have been paid by existing local taxpayers, instead come from new tax money paid by those who are now buying properties on the Island.

One bit of good news came from the Emergency Medical Services, which has been an escalating cost for paramedics to work with the EMTs, administering life-saving procedures. There will be no increase for the 24-hour coverage by the paramedics in 2026, Ms. Brach-Williams said.

Another good news item comes from the end of the MTA tax, which had been assessed to municipalities outside of New York City.

Because the supervisor is an experienced accountant, she became aware that the MTA tax to municipalities ended in June, but ADP, a payroll service company, has continued to pay the tax. The Town and ADP are squabbling over who has the responsibility to file an amended return to recover the money that was wrongfully paid.

One area that raised questions for Councilman Gordon Gooding, who is running against the supervisor in the Nov. 4 election, was how long the Town could continue to use fund balance money — funds left from a previous year because costs were less or income was more — to offset the amount the Town would need to bring in through new taxation.

In addition, when the Town sold a cell tower it had maintained, that money has, year to year, been used to help pay for some capital projects and to offset spending increases and the need for more taxation in a given year.

Ms. Brach-Williams explained that, as the same fund balance is used, it gets replenished. Unlike the federal government, which is able to operate with deficits, municipalities must pay their bills.

Cautious use of fund balance money also avoids budget spikes as unanticipated expenses arise, the supervisor said. 

“I don’t know if that’s such a good practice,” Mr. Gooding said, agreeing to delay that discussion for another day, while he gathered some additional information.