The village of Union Springs voted to override the state imposed tax cap for the 2019-2020 fiscal year during a regular meeting Tuesday night.
“Two out of the three years prior to this year we voted to override (the tax cap),” Mayor Bud Shattuck said. “When it comes down to our actual budget, we have not had to. But you have to vote to override it now in order to have it in place for when we vote on our budget in April.”
This year, one of the main reasons the village voted to override the tax cap is because Gov. Andrew Cuomo proposed cuts to Aid and Incentives for Municipalities (AIM) funding, Shattuck said.
Last year, the village received about $7,500 in AIM funding, Shattuck said. Typically the village raises taxes anywhere from 2 to 4 percent total, but a loss of that $7,500 would require the village to raise their taxes about 5 percent just to account for the loss of AIM funding. As the state’s imposed tax cap allows about a 2-percent increase each year, the override will likely be necessary if AIM funding isn’t received.