MONTICELLO — Sullivan County property taxpayers could face a 27.67 percent tax increase under a proposed 2027 county budget, as officials contend with declining sales tax revenues and rising operating costs.

According to the county’s budget proposal, property owners would pay approximately $330 more annually for every $100,000 in taxable assessed value.

The Legislature has until December 20 to adopt a final budget and may amend the proposal during its review.

Public hearings are expected in early December, although dates have not been announced.

County Manager Joshua Potosek presented the $299.9 million tentative budget to the Sullivan County Legislature on Friday, October 16. The proposal represents a $5.85 million, or 1.9 percent, decrease from the $305.7 million budget adopted for 2026.

Despite the reduction in overall spending, the county anticipates collecting $6.5 million less in sales tax revenue than it budgeted for 2026. Potosek attributed the proposed property tax increase to that revenue decline, inflation-driven expenses and the decision not to use money from the county’s general fund balance to offset costs.

“The 2027 tentative Sullivan County budget represents months of effort to navigate serious revenue declines while maintaining the county’s fiscal stability and providing the services taxpayers need and demand,” Potosek said in a press release.

Initial budget estimates suggested a tax increase of 35 percent would be necessary, according to Potosek, before officials reduced the proposed increase to 27.67 percent.

“As a taxpayer myself, I recognize this remains a sizeable increase,” he said.

According to Potosek, the reduction in sales tax revenue and the decision not to draw from the general fund balance account for 15.5 percentage points of the proposed 27.67 percent increase.

The tentative budget maintains existing county programs and services without adding staff or undertaking major new projects.

Among its largest expenditures is $21 million for road and bridge improvements, approximately two-thirds of which would be funded through state and federal sources.

The proposal also includes $1 million in borrowing to demolish the aging Division of Public Works station near Callicoon and design its replacement.

Other allocations include $500,000 to complete a water storage tower at the Sullivan County International Airport, $300,000 toward the design of a composting facility near the Monticello Transfer Station and $250,000 for the Sullivan Promise scholarship program, which covers two years of tuition at SUNY Sullivan for eligible local high school graduates.

Another $100,000 would support the Sullivan County Land Bank’s rehabilitation of deteriorating properties, while $75,000 would complete renovations to the Monticello Department of Motor Vehicles office.

Potosek said the county must attract additional taxpaying businesses to distribute the cost of government across a larger tax base.

Residents may submit written comments to Clerk of the Legislature AnnMarie Martin at annmarie.martin@sullivanny.gov.

The tentative budget is available online at https://county-sullivan-ny-cleardoc.cleargov.com/28777.