Nassau's "no property tax increase budget" has a property tax increase

                                                                           

Source: Nassau Legislature Office of Budget Review

Let's make one thing clear before the Nassau county legislature starts tinkering with County Executive Laura Curran's proposed $3.286 billion budget for next year.

Though Curran, a Democrat,  billed it as a "no property tax increase budget" when she presented it to county lawmakers on Sept. 15, there is a property tax increase in the financial documents she submitted to the legislature and posted online.

There's a 3.5 percent tax levy increase in the sewer fund.

Now maybe she meant there is no property tax increase in the budget's five major funds, but that's not what she said.

In her transmittal letter to the legislature, Curran wrote she was committed to  "providing a no property tax increase budget."

In her executive summary, she said it again. She cited the enormous negative economic impact of the coronavirus shutdowns this year and the difficulties of forecasting expenses and revenues for 2021.

Then she added, "The 2021Budget includes a no-property-tax increase budget for the third year in a row."

County executives--both Republican and Democrats for more than 20 years--have often touted "no property tax increase" budgets,  generally during election years. Curran faces re-election in 2021.

But staff for the Nassau Interim Finance Authority, the county's fiscal control board, revealed the tax levy increase in its report this month on Curran's budget.

 "Although the Sewer and Storm Water Resources District is not one of the five Major Funds,...it is a significant fiscal responsibility for the County and we continue to have ongoing concerns regarding the sustainability of its business model. Simply stated the projected revenues are insufficient to support projected expenditures.

To address, the inherent imbalance, the Administration proposes a  tax levy increase of $5.2 million in FY 2021," it said.

The proposed budget shows an increase of $5,226,643 in property tax revenues in the sewer fund for next year; from $149,332,643 this year to $154,559,286 next year.

That's a 3.5 percent increase.

The legislature's office of Budget Review, in a report on Curran's 2021 proposed budget, also notes the property tax increase in the sewer finance authority fund as well as a small increase in expected revenues in the environmental Bond Act Fund. (See chart above)

It adds: "In addition the Major funds include an adjustment of $3.9 million which OMB (office of management and budget) explains to be mainly from the restoration of taxes."

Republican legislators, who make up a majority of the county legislature, issued a news release today saying they will announce their proposed changes to the proposed 2021 budget at a press conference Thursday. They didn't say what changes they will make.

But keep in mind they are starting with a property-tax-increase budget.