White Plains Offcials Approve $157.8M Spending Plan

Editor's Note: The White Plains Common Council submitted the following statement Thursday night.
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The White Plains Common Council passed the 2013-2014 City Operating Budget this evening. The budget maintains service levels without lay-offs.

The General Fund Operating Budget totals $157.8 million. Only a third of the funds needed to run the City are provided by the property tax.   

The property tax levy is $53.9 million which is below the mandated New York State property tax levy cap.  The property tax rate is $191.74/$1,000 in assessed valuation, an increase of 3.9% (or $7.27 over the current tax rate of $184.47/$1,000). The median single family home will see an increase of $97.00/year in city property taxes.

Mayor Roach said, “As we emerge from the worst financial conditions since the Great Depression we have worked diligently to right the financial ship. These efforts were recently recognized by Moody’s Investors Service when they reaffirmed the City’s favorable bond rating and revised the City’s financial outlook from negative to stable. The City continues to take a fiscally prudent and responsible approach in managing its operations.  This budget contains no gimmicks or one-shots. We were able to trim expenses by identifying operating efficiencies and creative ways to provide services, and by carefully monitoring our expenses.”

Council President Beth Smayda said, “This budget continues the City’s conservative fiscal practices. The City will need to continue to look for operating efficiencies as it has over the last few years to ensure moderation in the property tax and provision of quality services.”

Highlights of the 2012-13 Adopted Budget:

• Fiscally Responsible. This budget includes realistic estimates of revenue, does not fund tax certioraris with debt; does not incur debt to fund the City’s pension costs. This not only means that the City’s fiscal house is in order, but that the City is not taking actions today that would only serve to weaken it financially in the future;
• Favorable Bond Rating; Stable Outlook. White Plains’ fiscally conservative approach to budgeting has resulted in the reaffirmation of its very favorable bond rating of Aa1 by Moody’s. In addition, Moody’s has revised the City’s outlook from negative to stable. The City first received a negative outlook in December 2009. The change back to a stable outlook status can be attributed to the City’s demonstrated ability to restore its fund balance reserve levels, properly balance its budget and take actions that have strengthened its financial position, such as moderating expenditures. The reaffirmation of the City’s Aa1 rating and the change in outlook status to stable occurs at a time when many municipalities have seen their bond ratings downgraded;
• Service levels maintained and Library hours restored on Thursday nights;
• Assessed value is up (by $2.1 million) for only the second time in the past ten years;
• The major factor impacting the property tax rate increase is pension payments, which increased by $2.0 million, or 13 percent. 99.7%, or $7.25, of the property tax increase can be attributed to increases in pension payments.      

In addition to the General Fund Budget, the Council also adopted the Operating Budgets for the Library Fund, Self-Insurance Fund, Water Fund, and Sewer Rent Fund and approved the budget for the Debt Service Fund and the City’s Business Improvement District (WP BID).

The City’s 2013-2019 Capital Improvement Program, which includes recommended projects for the 2013-2014 fiscal year, was adopted by the City’s Capital Projects Board and submitted to the Common Council in February 2013.  That Program is incorporated into the City’s adopted budget.