FALLSBURG/THOMPSON – As the season changes, towns and villages across Sullivan County have started the budget preparation process for 2023.

For Fallsburg, no estimated amount was available as of press time, but inflation and the current economic climate have negatively affected the upcoming budget according to Deputy Supervisor Sean Wall-Carty.

“[It] has had a significant negative impact on employee and energy cost,” said Wall-Carty.

If needed, the town has already passed a resolution to override the two percent tax cap.

The two percent tax cap limited tax levy increases to the lesser of the rate of inflation or two percent, with some exceptions, including a provision that allows municipalities to override the tax cap.

Under this law, the property taxes charged by the local governments and school districts cannot be increased by more than two percent or the rate of inflation, whichever is lower.

Thompson

For Thompson, a budget public hearing is set for November 1 at 7 p.m. at the Town Hall.

According to Thompson Town Supervisor Bill Rieber Jr., the estimated budgeted expenses will be $20 million in all fund categories, and half of that needs to be raised by taxes.

“This year’s budget was challenging due to inflationary costs,” said Rieber, with the most significant expenses coming from fuel, asphalt, electric and health insurance.

“We are fortunate because we have very healthy fund balances and very low debt.  This enabled us to balance the budget and keep the tax levy as low as possible,” added Rieber.

Even though Thompson also passed a tax levy resolution, Rieber states the early numbers look like Thompson will meet the tax cap with only a modest increase in tax rates.

“Town of Thompson taxpayers have enjoyed a reduction in taxes for the past seven years,” said Rieber.

Furthermore, Rieber said investing in housing and commercial business on the State Route 42 business district is growing.

Rieber said, “I am very confident that we will power through this economic storm and continue to lead Sullivan County’s economic future.”