Board Adopts Zero Tax Increase Budget

The Garden City Board of Trustees adopted a $65.393 million Operating Budget and $4.8 million Five-Year Capital Plan during a meeting on Monday, April 4, 2022.

Four budget work sessions took place in March, followed by a budget hearing on April 4. The Board, which now includes three newcomers who were sworn in that same evening, unanimously adopted the spending plan.

2022-23 expense appropriations increased slightly year over year, totaling $65.393 million, which will be funded via three sources - $1.7 million in current year surplus, estimated revenues of $10.4 million and a tax levy of $53.3 million. This results in a tax levy increase of zero percent year over year. The increase allowed per the Tax Levy Limit Law is 2.88 percent for the Village this year.

According to Village Treasurer Irene Woo, in the last eight years (including 2022-23), the actual property tax levy increase has been less than the amount allowed per the Tax Levy Limit Law. Major components of the 2022-23 expense budget include salaries, benefits and taxes, which represent $36.9 million, consulting and contractual services ($5.7m), contributions to capital projects ($4.8m) and debt service ($3.9m).

Village revenues increased by approximately 7 percent, year over year, mostly due to an expected increase in the state aid mortgage tax ($250,000) and parking tickets ($250,000). Building Department fees and federal, state and local aid both remain steady for a combined $3.8 million while other real property tax items total approximately $1.1 million.

There are 54 current capital projects in various stages of completion that will mostly extend into the 2022-23 fiscal year. Four of those projects have been authorized through bond resolutions but unissued. They total $5.2 million. The Five-Year Capital Plan budget (2023-2027) totals $29 million. The $4.8 million worth of projects in the 2022-23 fiscal year will be funded through taxes. Of that, $1.4 million is earmarked for equipment and vehicle replacements for the Public Works, Recreation and Police Departments while $775,000 will fund a new sprinkler system at the DPW Yard and $700,000 will be used for replacement of a retaining wall at Community Park.

Trustee Terry Digan, Finance Commissioner, thanked the Executive Staff for their work during the budget process. “A great job by Irene, Ralph and all the Department heads getting all the information together. I think it was a smooth and very easy process,” he said. His sentiments were echoed by several other Trustees before the close of the public hearing, which yielded no public comments.