Town board tops tax cap with 2012 levy

Richard Tedesco

The Town of North Hempstead board voted to override the state’s 2 percent tax cap at a special meeting on Monday night, enabling the town to adopt a $108.3 million budget for 2012 with a 2.8 percent year-to-year increase in the tax levy.

Town officials had initially projected a 1.9 percent increase in the tax levy. But taxes tied to garbage districts had been underestimated, Town of North Hempstead Supervisor Jon Kaiman said.

“While they’re still charging what they did in past years, they are charging more than they did last year,” Kaiman said.

He said garbage district taxes had decreased last year by as much as 8 percent but are rising slightly this year.

Kaiman also attributed the addition of more than 500 families to Great Neck garbage districts to the rise in the tax levy and the need to pass a local law to override the tax cap.

While the tax levy will increase in the Great Neck garbage districts, the actual taxes related to the garbage collection services will drop because of the increase in the number of residents within the districts, Kaiman said.

The tax levy – and the tax cap – apply specifically to the total amount of taxes collected by a government unit and does not necessarily reflect the increase to individual taxpayers.

A $1.7 million charge recently imposed by Nassau County for town residents attending community colleges, which is being contested by the town, also added to town expenses.

“The county should have paid it. We never should have paid it,” Kaiman said after the meeting. “The county is a mess.”

The town board also approved a $4.1 million bond to cover costs of judgments against the county for services provided by Verizon and National Grid.

“Unfortunately, the county has indicated it cannot pay the judgments,” Kaiman said.

Councilman Thomas Dwyer said the town is currently contesting covering the cost of the judgments in the state Court of Appeals.

“The county has said to pay these judgments would put it in financial chaos,” Kaiman said.

“How would we tell?” Dwyer asked rhetorically.

The town board also approved the issuance if revenue anticipation notes totaling $9.1 million to cover sales tax and mortgage obligations.

Kaiman said Councilman Angelo Ferrara, who was unable to attend the meeting, had indicated his intention to vote against the budget.

The other town board members voted to adopt the budget.

Reach reporter Richard Tedesco by e-mail at rtedesco@theislandnow.com or by phone at 516.307.1045 x204

 

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