X

Ogdensburg city council agrees to allow budget to exceed tax cap; Deputy Mayor Morley votes no

Posted 10/12/16

By JIMMY LAWTON OGDENSBURG -- Ogdensburg City Council voted 6-1 Monday in favor or allowing an override of the state tax cap this budget season. The vote does not mean the city will override the cap, …

This item is available in full to subscribers.

Please log in to continue

Log in

Ogdensburg city council agrees to allow budget to exceed tax cap; Deputy Mayor Morley votes no

Posted

By JIMMY LAWTON

OGDENSBURG -- Ogdensburg City Council voted 6-1 Monday in favor or allowing an override of the state tax cap this budget season.

The vote does not mean the city will override the cap, but grants them the flexibility to do so.

A public hearing regarding the tax cap was held prior to the vote with Ogdensburg resident Paula Jacques speaking on the issue.

Ogdensburg City Council approved the resolution with Deputy Mayor Michael Morley opposed.

The council has passed the resolution in previous years as a precaution, but has typically worked to keep the budget under the tax cap.

City comptroller Tim Johnson said that was the case this year as well.

The state implemented the tax cap with hopes of reducing property tax burdens. At the time the cap was implemented, it was supposed to be accompanied by a reduction in unfunded mandates, but the state has failed to make good on that claim.

City Manager Sarah Purdy is estimating the cap at 1 percent for the city, but the final number could come out even lower. She said that means the city can only raise an additional $130,000, without breaching the cap.

This year the council is facing financial difficulties including decreased sales tax revenues, impending needed upgrades at its wastewater treatment plant, and a low general fund balance.

The city manager and department heads have been looking for ways to cut costs while maintaining services, and city councilors recently began working on the budget.

Last year the city spent $419,499 from the general fund to keep the tax rate below the cap, which was just about .73.