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Tentative tax rates

The following are the municipal tax rates per $1,000 of assessed property value in Fulton County's 2010 tentative budget, compared to 2009:

Municipality20102009Change

Gloversville$7.84$7.33+ 7%

Johnstown (city)$11.04$10.75+ 2.7%

Bleecker$7.62$7.14+ 6.7%

Broadalbin$8.94$8.25+ 8.4%

Caroga$16.73$13.33+ 25.5%

Ephratah$10.57$11.53- 8.3%

Johnstown (town)$10.53$9.88+ 6.6%

Mayfield$11.43$10.72+ 6.6%

Northampton$12.53$12.35+ 1.5%

Oppenheim$14.41$13.49+ 6.8%

Perth$14.96$14.86+ 0.7%

Stratford$12.57$9.95+ 26.3%

Source: Fulton County's 2010 tentative budget

JOHNSTOWN - Citing less revenue and a large increase in employee benefit costs, officials Monday reviewed a tentative $104 million county budget for 2010 that carries a 6.4 percent average property tax rate hike.

County Budget Director Alice Kuntzsch released her tentative county budget to the Board of Supervisors at the County Office Building.

The $104 million in appropriations earmarked for 2010 represents a $4.7 million, or 4.7 percent, increase in appropriations for 2009.

She said county finances are being strained "significantly" by a global recession.

"You're going to notice a theme through this whole thing - decreased revenue, declining revenue," Kuntzsch said. "Key revenues are down."

Key revenues that have decreased include mortgage tax revenue, down 21 percent, or $200,000; sales tax revenue, down 3 percent, or $400,000; and lower interest rates on a declining fund balance, resulting in a 64 percent, or $350,000, reduction in interests on deposits and investments.

The budget director said county employee benefits increased a "dramatic" 14 percent, or $1.8 million.

The board voted Monday to receive the document and scheduled a workshop for 1 p.m. Nov. 19 to review it further? A public hearing on the 2010 county budget was set for 1:30 p.m. Nov. 23 at the County Office Building.

Kuntzsch, in a presentation to the board, said the county may adopt the budget before the Dec. 20 date set by law.

"We're looking at some time around the end of the month or the first week in December," she said.

The tentative budget shows a 6.4 percent average property tax rate increase for next year - from $9.76 per $1,000 of assessed value for 2009 to $10.38 per $1,000 for 2010.

Property tax rates differ in municipalities based on state equalization rates. Gloversville's rate reflects a 7 percent increase, and the city of Johnstown has a 3 percent rate hike. Town rates fluctuate from an 8 percent tax rate decrease in the town of Ephratah to a 26 percent increase in the town of Stratford.

"We're looking at a 20 percent increase for a little town, and that's crushing," Stratford Supervisor Robert E. Johnson Jr. said.

Kuntzsch said the proposed tax levy for next year of $24.4 million is up by 8 percent.

The board Monday cut five vacant positions, and Kuntzsch said no one in the county at this point is being laid off. The vacant positions being cut are: one probation officer, effective Jan. 1; one tax map technician, effective Jan. 4; and one sheriff's deputy, one legal clerk (part-time) and one alcoholism counselor, all effective immediately.

Kuntzsch said "skyrocketing" county contribution costs to the state Employees' Retirement Fund and the Police and Fire Retirement System is the principal factor in employee benefits rising 14 percent. County pension appropriations increased 77 percent, up from $1.9 million in 2009 to $3.3 million for 2010.

The county is again holding the line on capital projects and federal and state aid is expected to increase by 13 percent, or $4.3 million, Kuntzsch said.

But she said other revenue decreases are overwhelming any good news in next year's county budget. For example, the state no longer provides reimbursement for state-ready inmates at the County Jail - an expected $65,000 loss in revenue for Fulton County. The county treasurer is reporting a 32 percent decrease in Capital District Off-Track Betting Corp. revenue for next year.

On the positive side, Kuntzsch reported the Highways and Facilities Department decreased its fuel account by 22 percent, or $181,250. The Fulton County Residential Health Care Facility applied $332,467 of its fund balance to help balance the budget.

Kuntzsch said Fulton County is now at 47 percent of its constitutional taxing limit.

The county is appropriating $4 million of its $16 million in fund balance for next year, leaving $12 million.

Johnstown 4th Ward Supervisors James Callery, chairman of the board's Finance Committee, thanked all the county departments that helped assemble the tentative county budget.

"We've got tough cuts to make," Callery said.

"I'm hopeful that we'll continue to close the gap," Kuntzsch said of upcoming work on the budget.

Michael Anich covers Johnstown and Fulton County news. He can be reached at johnstown@leaderherald.com.