Takeaways from the Suffolk $4.3B spending plan, according to analysts
The Suffolk County Legislature holds a general meeting at the William J. Lindsay County Complex in Hauppauge in May. Lawmakers are poring over the 2026 budget proposal that's expected to voted on next month. Credit: Morgan Campbell
Projected salaries and benefits for Suffolk County’s workforce are expected to “grow significantly” as part of the county’s proposed $4.3 billion 2026 operating budget, climbing an additional $178.1 million, according to the Suffolk Legislature’s Budget Review Office.
The nonpartisan BRO released an analysis of the recommended operating budget last week and deputy director Benny Pernice discussed the findings during a budget working group meeting Monday. The report says the recommended budget is “generally reasonable” in the face of an uncertain economic future caused by high inflation and likely stagnant sales tax revenue, which represents the county’s largest revenue stream.
The report came the same day the county announced it had received two bond upgrades that County Executive Edward P. Romaine, a Republican, said signaled a “resounding vote of confidence in Suffolk County’s fiscal turnaround.” In 2020, the county faced an $800 million shortfall during the onset of the COVID-19 pandemic. Higher than expected revenue post-pandemic, as well as federal aid, helped the county reverse course.
The legislature’s budget working group met again Tuesday as lawmakers continue to pore over possible amendments before a Nov. 5 meeting where they can vote to adopt the budget, which takes effect Jan. 1.
Romaine released the budget Sept. 19, beginning the process for lawmakers to review it with department heads and suggest any changes. Romaine said the budget “protects the services our residents depend on, strengthens our public safety and environmental protection efforts and manages taxpayer dollars responsibly.”
The budget includes a 3.18% property tax increase, which falls under the maximum of 3.25%, according to the BRO report. The property tax increase is approximately $500,000 less than allowed under the tax cap.
Here are some additional takeaways:
6.85% tax bump
The average homeowner tax bill for 2025-26 county taxes will increase by $87, a 6.85% increase, according to the report. Residents in the five East End towns, which are served by their own police departments, do not pay into the police district and therefore see lower increases.
Salary bumps
The budget includes $2.5 billion in salaries, benefits and other personnel costs, equaling about 58% of the total budget. Overall salaries are projected to increase 6.54% in 2026, or an additional $81.7 million. The combined total with benefits equals a 7.66% increase.
Health care and pension costs continue to drive an increase in benefit expenses.
Ken Girardin, a fellow at the Manhattan Institute and former research director at the Albany-based Empire Center for Public Policy, said in an interview that police pension costs are “one of the biggest ways the county is getting clobbered right now.”
He said Suffolk County has “more exposure” to those increases compared with other counties due to the size of its police force.
The BRO report says while “recruitment and retention have been an ongoing challenge” across various departments, a theme repeated last week by several department heads in discussions with lawmakers, the overall size of the county’s workforce has increased in recent years.
In October 2021, the county had 8,523 employees active on the county payroll. That increased to 9,498 through mid-September this year. Pernice said about 75% of those additions have been to public safety, either police department, sheriff's office or district attorney’s office.
The number of police officers has climbed to its "highest in more than 20 years,” according to the BRO report. The county averaged 224 recruits per year from 2021 to 2024, and a class of 123 was hired this year with another class of 30 scheduled in December.
The number of retirements, however, is trending down, according to the report.
Bond upgrade
Romaine announced Friday the county received a pair of bond upgrades to AA- from Fitch Ratings and S&P Global Ratings. The Fitch Ratings referred to the county’s Issuer Default Rating and Public Improvement Bond Rating. The S&P Global Ratings upgrade referred to the county’s $188.7 million Series 2025A that are scheduled for sale to fund capital projects.
“Through careful planning, responsible budgeting, and a commitment to transparency, we’ve restored financial stability and positioned Suffolk County for a sustainable future,” Romaine said in a statement Friday. “This means lower borrowing costs for critical infrastructure projects and long-term savings for the taxpayers.”
The agencies highlighted the county's reserve balances, its effort to reduce reliance on one-time revenues and an investment in technology and cybersecurity.
Sales tax revenue
Pernice said Monday the BRO’s projections show “sales tax coming in quite a bit lower than what the county executive has,” partly because of the federal government shutdown.
He said the government shutdown occurred after the county executive released his budget.
“That’s definitely going to have some negative economic impacts,” he said.
The recommended budget includes an increase in sales tax revenue of 1.2% in 2026 while the BRO projects 0.11%. The more pessimistic forecast would result in a $46 million deficit in the general fund, according to the report.
The county has “considerable reserves” to use if needed in 2026, according to the BRO report, “however, difficult decisions” will be needed to preserve the reserves in 2027 and beyond.
Joe Werkmeister joined Newsday in 2022 and covers Suffolk County government and politics. He is a graduate of St. Bonaventure University and previously worked as the editor of two North Fork community newspapers.
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