NEWBURGH – After weeks of debate and number crunching with the aid of a financial consultant, the Newburgh City Council Monday night approved a $47.8 million budget that squeaks in under the state tax cap by just $1,000.
Under the spending plan, residential property taxes will go up about a half-percent while commercial property taxes will rise by about 1.4 percent. Those figures are down significantly from the 7.1 percent total property tax increase under the city manager’s proposed budget.
The spending plan, which must be approved by the state comptroller’s office, taps the city’s fund balance, counts on reduced police department overtime by more than $130,000 and an increase in the anticipated county sales tax sharing in 2019.
Councilwoman Patty Sofokles believes the very modest property tax increase based on projected higher sales tax income is appropriate.
“I’m on both ends of the spectrum. I am a business owner and a homeowner so I get hit both ways, but it’s not a lot,” Sofokles said. “We are not talking about hundreds, and hundreds and hundreds of dollars. We are talking about a few dollars.”
The budget adoption vote was unanimous.
