LI towns' 2012 budget proposals

This story was reported and written by Aisha Al-Muslim, Stacey Altherr, Jennifer Barrios, Bill Bleyer, Denise M. Bonilla, Sarah Crichton, Carl MacGowan and Patrick Whittle

BABYLON

Budget: 2.4 percent decrease

Taxes: 4.9 percent decrease

The $137.2 million proposed budget represents a $3.3 million, or 2.4 percent, reduction in spending. The budget increases general fund taxes 9 percent and decreases residential garbage taxes 21 percent. The highway, lighting and part-town taxes remain roughly the same. Overall, residents will see a 4.9 percent, or $3.8 million, reduction in their town taxes.

For the average home valued at $305,600, general fund taxes will rise $31 to $377 while garbage taxes will fall $85 to $313, with an overall town tax cut of about $55, bringing the tax bill to $1,059.

The town said spending decreased due to a reduction in employees by not filling vacant positions, a decrease in overtime and renegotiated contracts with vendors. The general fund increase is due to declining mortgage tax revenues, increasing state pension contributions and rising health care costs. The residential garbage fund decrease is due to $5.5 million in surplus money that resulted from renegotiated contracts and increased LIPA energy credits, as well as the termination of trucking leachate from the ashfill.

EAST HAMPTON

Budget: 2.5 percent increase

Taxes: 1.9 percent decrease

East Hampton's proposed budget of $65,632,571 is a 2.45 percent spending increase over the current budget of $64,063,908.

The tax levy will see a decrease of $876,826, or 1.89 percent -- from $46,387,510 to $45,510,684.

Surplus from two funds, highway and sanitation, which Supervisor William J. Wilkinson said exceeded the state comptroller recommendation, were also used to further reduce the tax burden. The two funds together added about $1.5 million to the general fund.

However, $403,000 would be added to general fund reserves, which Wilkinson said were depleted. Past reports put the amount of the deficit at $30 million during the previous administration between 2004 and 2009.

In the "Supervisor's Message," Wilkinson also cited a reorganizing of departments. And he added that changes in the leaf pickup program and closing the recycling center one day a week will produce a $700,000 savings.

HEMPSTEAD

Budget: 2.9 percent increase

Taxes: 0.1 percent decrease

Hempstead's proposed $414.8 million budget, a 2.9 percent increase over the current $403 million, calls for virtually freezing all town taxes. The town plans to collect $263.5 million in property taxes in 2012, a reduction of .08 percent compared to this year's amount. Town residents, including those in incorporated areas, will pay about $57.98 in general fund taxes for a home assessed at an estimated $941, said town comptroller Kevin R. Conroy -- a reduction of 50 cents. The average homeowner will pay the same amount as the current year in sanitation disposal, street lighting, parks, water, parking, fire and library district taxes. Highway and part-town fund levies will also stay the same.

The town is keeping the same number of staff positions at 1,996. The town is also cutting overtime costs from $5.1 million this year to $4.9 million in 2012, a decrease of 3.92 percent.

The town's beleaguered animal shelter would get $7.45 million in 2012, an increase of about 13.7 percent ($900,000) over the current year.

ISLIP

Budget: 3.4 percent increase

Taxes: No change

Supervisor Phil Nolan's proposed $121-million budget -- comprising the general, part-town and highway funds -- has no tax increase and spending increases in the 1 percent to 3 percent range for most town departments, comptroller Joseph Ludwig said.

Contractual labor obligations and increases in fixed costs -- such as state pension and health insurance contributions, debt servicing and fuel and utility costs -- are largely responsible for the budget increase, Ludwig said.

To keep taxes down, Islip continues to pare its total workforce, from 1,029 budgeted positions in 2007 to 730 actual positions, and also will use a combined $23 million from its "rainy day" fund and reserves for debt servicing. Management would forgo pay raises as part of cost-saving measures, Ludwig said.

NORTH HEMPSTEAD

Budget: Not available.

Taxes: Not available.

The Town of North Hempstead provided incomplete information about its 2012 budget proposal.

The proposed budget increases the general fund from $58.2 million to $60.9 million, said town spokesman Collin Nash. The part-town/highway budget would rise from $31.7 million to $32.9 million, Nash said. The garbage district fund would be $7,692,863, he said.

The town will maintain all current services and will not be laying off any employees, Nash said. However, the town will refrain from filling vacant positions when possible and will limit expenditures, Nash said.

SHELTER ISLAND

Budget: Not available

Taxes: Not available

Figures for Shelter Island were not available.

HUNTINGTON

Budget: 5.6 percent decrease

Taxes: 1.1 percent increase

Supervisor Frank Petrone's preliminary budget, released on Sept. 20, cuts $10.3 million from the current year's budget while increasing taxes by 1.1 percent.

The proposed $174-million 2012 operating budget includes a 3 percent increase in the highway fund, one of the town's three major funds, due to increased storm and other weather-related cleanup costs. The proposal eliminates 10 vacant positions for an estimated cost savings of $700,000.

A property owner with a home assessed at $4,100 would see taxes increase by about $12 over 2011 if Petrone's budget is approved.

In his presentation letter to the town board, Petrone said the budget was the "leanest" he had ever presented.

No salary increases for employees are included, and employees would be required to contribute 10 percent of their health-care premium costs.

RIVERHEAD

Budget: 3.3 percent increase

Taxes: 2.86 percent increase

Riverhead's proposed spending plan of $51,615,900 is an increase of 3.33 percent over the current budget of $49,952,020.

The town's total budget includes highway and street lighting as well as general fund expenditures.

The total town tax levy for those same funds is $37,832,301, a 2.86 percent increase over the current levy of $36,779,920. However, the town stayed within the newly mandated state tax cap of 2 percent since 2.2 percent of the rise was for allowable exemptions, such as new increases in employee retirement costs.

Supervisor Sean Walter noted that since 2010, the town's spending has increased 1.2 percent, even with $3 million extra in pension costs.

There were no layoffs, he said.

SMITHTOWN

Budget: 1.5 percent increase

Taxes: 0.7 percent increase

Smithtown would raise taxes less than 1 percent next year, said Supervisor Patrick Vecchio. The town had no tax increase this year.

Vecchio last week unveiled a tentative 2012 budget calling for $100.5 million in spending, a 1.5 percent increase from this year's budget.

Vecchio said there is no tax increase in next year's general fund. But taxes for the highway fund are expected to go up an average of $15 to $20 per household, due in part to clean up expenses following Tropical Storm Irene, which cut into the department's reserve funds.

Overall, the town's tax levy would rise by 0.72 percent, to $62,879,000.

No town services would be trimmed, Vecchio said. He said he would take $4.5 million from the town's reserves to offset a 13.5 percent increase in health costs and $1 million more in state pension contributions.

OYSTER BAY

Budget: 7.6 percent increase

Taxes: no change

The proposed budget totals $262,464,593, an increase of 7.6 percent. But the amount residents pay for the overall town tax and taxes for the special districts the town controls will be unchanged.

A reduction in cash reserves from $20.3 million at the end of fiscal year 2005 to $375,000 at the end of last year spurred Standard & Poor's Ratings Services to lower the town's bond rating in June. The budget calls for $3 million to be added to the cash reserves, not the $10 million estimated last week.

The budget includes an additional $5 million from higher parking and other user fees and cuts in overtime payments next year of $2 million from this year's $5 million. Salaries will be down by $1 million to $95,845,000 through attrition.

Health insurance costs are up $3 million to $29,300,000. Debt service will increase $14.7 million to $70.3 million for road, park and other infrastructure improvements such as the commuter garage in Hicksville.

The budget for the Public Safety Department will rise from $4,535,000 to $4,572,000, a 0.8-percent increase.

BROOKHAVEN

Budget: 1 percent decrease

Taxes: No change

Brookhaven's proposed $260 million budget would hold the line on taxes, but only after trimming staff and services and dipping into the town's surplus reserves.

Supervisor Mark Lesko has proposed to cut 18 vacant positions to save more than $800,000. The town might also lay off eight park rangers and two part-time department managers.

Lesko has also proposed to use $14.6 million of the town's surplus to balance the budget.

Other cuts are planned, including a $500,000 reduction in funding for youth programs. Town pools and beaches, which normally open by mid-June, instead will open on July 4. The town will no longer employ its own park rangers.

The spending plan, if approved, would allow Lesko to freeze town taxes for a third consecutive year. It would result in a town property tax bill of $630.33 for the owner of a typical home in Brookhaven.

The spending plan is similar to one Lesko proposed -- and that was later approved by the town board -- one year ago. The town has had to make staff and service cuts to contend with declines in landfill and mortgage tax revenue, Lesko said.

SOUTHAMPTON

Budget: No change

Taxes: No change

The town's $80.2 million spending proposal is unchanged from the current year, and the property tax levy is also frozen at $57 million.

Officials said the town would have 29 fewer positions next year, 21 of which would be involuntary layoffs. The reductions include eight police officers with 20 or more years of service and two hired at entry-level positions.

It also calls for a 2 percent salary increase and first-time health care contributions for nonunion employees, in line with that offered union members.

SOUTHOLD

Budget: 1.32 percent increase

Taxes: 2.65 percent increase

Southold Town Supervisor Scott Russell's proposed $39,824,144 budget is a 1.32 percent spending increase over the current year's budget of 39,305,094.

The tax levy would increase from $28,978,994 to $29,746,155, a 2.65 percent increase. About $700,000, or 2.4 percent, of the tax levy's rise is for state employee retirement costs, which are exempt from the state's 2 percent tax cap.

Revenues continue to decline, Russell said. The town is estimating $1.06 million in mortgage tax revenue, down from $6 million to $7 million it received in the years before the recession.

There will be no layoffs in the budget, in part because of a large number of retirements over the past two years due to state incentives, Russell said.