New Rochelle Proposes $190M Budget For 2018

NEW ROCHELLE, NY — The City of New Rochelle is proposing an estimated 2.04 percent tax rate increase for 2018 which would translate to a $73 tax increase for the average homeowner. City Manager Charles Strome III released his proposed budget Thursday that keeps the tax levy at the maximum amount allowed under the state-mandated tax cap — 2.03 percent. The $190 million budget enhances essential services and continues investing in the city’s infrastructure, Strome said.

“The proposed budget is a responsible financial plan that includes funding for the further restoration of public safety services and a continued robust investment in the city’s infrastructure, while maintaining an adequate rainy day fund in accordance with the goals of the city’s new Fund Balance Policy,” he said.

Strome said that despite the limits the tax cap puts on the city, services will be improved and capital projects will be funded at a minimal cost increase to taxpayers.

Driving the budget is the city’s 10-year capital program investment, union contractual obligations for salaries and health insurance increases. Strome said the increases will be funded by tax revenue, fines, grant funding and anticipated increases in one-time revenue streams from the city’s development program.

The 2.03 percent increase to the tax levy — or $1.2 million — equates to a tax rate increase of 2.04 percent because the city’s tax base is estimated to fall slightly this year, Strome said.

The proposed tax increase for the average homeowner is $73 and is equal to about 20 cents per day.

Strome will present the budget to the City Council, which will then conduct budget review meetings.

A public hearing on the budget will be held Dec. 1

Photo credit: Michael Woyton/Patch Staff.