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HomeMy WebLinkAbout1941_12_10 Town Board Minutes PUBLIC HEARING BY AND BEFORE THE TOWN BOARD OF THE TOWN OF MAMARONECK, NEW YORK IN ACCORDANCE WITH SECTION 113 OF THE TOWN LAW HELD DECEMBER 10, 1941 In the auditorium of the Mamaroneck Senior High School, Palmer Avenue, Mamaroneck, N . Y. The meeting was called to order by Supervisor McCulloch at 8:15 P. I1. Present: Supervisor McCulloch Councilmen Bates, Griffin and Mandeville Absent: Councilman Ideginniss The presence was also noted of Town Clerk Payne, Town Attorney Delius, Town Engineer Foote, Comptroller Luceno, Deputy Receiver of faxes Orsino and Public Welfare Officer DeVinne . At the request of the Supervisor the Town Clerk read the affidavit of publication of the notice of the hearing, published in "The Daily Times", the official newspaper of the Town. The Supervisor thereupon declared the hearing open for comments upon the proposed budget for the year 1912. Mr. Harry T. Byrne of 17 Dante Avenue, Town, read a prepared statement which was filed with the Town Clerk. Mr. T. Roosevelt Allen, in behalf of the Taxpayers ' League of Mamaroneck, read a statement of the executive committee' s con- clusions after a study of the proposed 19,42 budget, which was filed with the Town Clerk. He asserted that the officers had analyzed the budget in the "very limited time" allowed and had concluded that the local officials should be urged to do everything within their power to decrease the tax rate. "It is mandatory that every possible economy be practiced by the local officials", he said. The league protested the budget in its entirety and he said that they would criticize it more specifically through the press at a later date. Mr. Walter F. Brady of 132 Valley Stream Road, Town, stated that if there were any good suggestions, this was the time and place to discuss them. Supervisor McCulloch asked Mr. Allen if he was prepared to do this and Mr. Allen replied that he was not . The Supervisor asked Mr. Byrne if he wished to discuss any of the items in his statement. Mr. Byrne said that he would and proceeded with the follow- ing: Mr. Byrne: Is it not a fact that the taxpayer who because of financial or other reasons who did not receive a lower assessment must pay a higher tax than previously on account of the reduction of the assessment roll by $1,500,000? Supervisor McCulloch. If the assessments are reduced, then the rate does go up. Mr. Byrne: I suggest that the assessed valuations should be equalized. If the assessed valuations were reduced relatively the same for those who had not secured a reduction through certiorari, the tax would be equitable, would it not? Supervisor McCulloch: That is true . The total reduction was "$1, 500,000. The new construction did not take up all reductions on old property. I agree that because of certiorari proceedings there is inequity but I do not agree that there is inequality. Mr. Byrne: I am not protesting to decreases in assessments . I want some more for the people who did not get them. Assessor Smith: I do not know what the courts are going to do and, therefore, can not reduce all assessments in proportion to the reductions granted through certiorari. Mr. William Eklund: I think what Mr. Byrne is driving at is - he believes that the total roll is over-valuated and that it is open to attack. It is weak when any certiorari actions are brought against it. Does the totim realize that fact and have they any intention of reducing the roll to meet the situation? In such a situation it will be possible for certain individuals to get relief while others can not. Councilman Mandeville stated that this looked to be far fetched. He pointed out certain conditions throughout the Town. Supervisor McCulloch: During the last six years about five million dollars has been reduced on old property. it is very difficult to have any policy. The assessor must take into considera- tion the reductions by certiorari in the previous year. Mr . Byrne: I am trying to find out if the Tovvn is establish- ing some plan to take care of assessments. I do think that as acting heads of the community the Town Board should offer some suggestions to the assessor. Supervisor McCulloch: When you speak of reducing the roll by ten per cent or some set figure, you have to decide whether a high tax rate or a high assessment is a greater deterrent in selling property. Mr. Byrne: The school rate is based on the same assessment roll, is it not? Supervisor McCulloch: Yes . Mr. Byrne: Then the school tax is affected by the town assessment roll? Supervisor McCulloch: Yes. The Supervisor explained that under the law the Town Board does not prepare the roll and is not permitted to influence the assessor in the preparation of the roll; also that after the roll is prepared, the same is examined by the Board of Review and then filed. Supervisor McCulloch: In answer to your question as to whether or not it is a fact that there are over $500,000 in uncollected taxes, it is a fact that there are over $500,000 in uncollected taxes . Three to five letters have gone out on these uncollected taxes . Mr. Byrne: How much are the uncollected taxes? Supervisor McCulloch: About $584,000 not counting this year' s taxes . - - Mr. Byrne: Has a consistent plan been worked out on this? Supervisor McCulloch: Yes . Mr. Byrne: Have you considered foreclosure? Supervisor McCulloch: Yes, we have. We have considered foreclosure, but if we own the property, we will have to pay taxes on it. And you have to pay double, unless we can sell the property. Mr. Byrne: Is it not true that one of the reasons that it is unsaleable is because there are high taxes? Supervisor McCulloch: High taxes never helped the sale of property. E Mr. Byrne: Isn' t it a fact that a method of refunding of amortization, spreading the burden of these over a period of years, was available without the knowledge of those who are being paid by us to know? Supervisor McCulloch: The law which you refer to was repealed. We did see the State Comptroller several years ago about this matter. There is a law now permitting municipalities to go to the Comptroller for approval of a plan for refunding but for one year only. Mr. Brady: Will they permit us to do this? Supervisor DiicCulloch: Only on the general town bonds . Not - on any district bonds . Bonds issued prior to 1939 could be refunded and the refunding bonds would be paid off in 1953 or 1954• You could refund about $50,000. It is a year by year proposition and we would pay about $14,750 additional interest on this $50,000. The general bonds are in much better shape than the to7ai outside of villages. Pair. Byrne: The amortization affected by this refunding would not be spent at this time. Supervisor McCulloch: If you want present relief at a greater total expense later on, that could be done . Mr. Byrne: I think that it would be the wise thing to do in the coming years where our amortizations are large, because we are going to be hit right on the nose by the federal taxes and I feel that it should be postponed. Refund for the next four or five years . Supervisor McCulloch: You can, as 1 have already explained, only do this on the general town bonds and the total amortization of those bonds for 1942 is only $93,000. The Board has not recommended it. Mr. Byrne: It could have been done before but it was never even thought of. Supervisor McCulloch: The general principles of refunding were considered by the Board at a budget hearing and at that time the proposition was opposed by the people. Is that not so, Mr. Brady? Mr. Brady: Yes . Mr. Byrne: Isn't it a fact that unexpended special funds in previous budgets have been transferred to the general fund and spent for purchases that taxpayers had legally and emphatically re- jected, instead of being allowed to remain as surplus? Supervisor McCulloch: We have a tax lien note and if there are any unexpended funds, they are paid against the tax lien note. Mr. Byrne: Do you not use the unexpended fund for other purposes? I refer to the fire apparatus on which you held a referendum. The people voted against it and then it was purchased anyway. Supervisor McCulloch: The Board used its judgment. They felt that the piece of fire apparatus was necessary and therefore included it in the budget. The Board had the responsibility of deciding whether they should do this . The referendum was on the question of whether we should bond for the apparatus . NIr. Byrne: Why did you put it in the budget? Supervisor McCulloch: Vie assumed that the people wanted to be on a "pay as you go basis" . Mr. Byrne: Isn' t it a fact that the budget is prepared and the tax rate is arrived at with a full knowledge that a certain part of these taxes will not be collected? 599 Supervisor McCulloch. Certainly we know that a certain per- centage will not be able to pay their taxes . Wewere collecting 98 per cent of the taxes until a few years ago. Mr. Byrne: Is that taken into consideration in preparing the budget? We sit down and adopt a budget and we know that we are not going to collect these taxes . We are spending the money that we are not going to collect . Supervisor McCulloch: You can not take care of it except by putting a tax 'lien note in the budget. We are doing that. We can not put in a contingent fund. Penalties and interest on back taxes do a lot to off-set that amount. Perhaps we should leave these penalties out of the budget. In an attempt to make the budget as small as possible we have left them in. Mr. Byrne: Isn' t it a fact that when you place an item in the budget to take care of tax notes issued against back taxes, the taxpayer who has paid his taxes is then paying the delinquent taxes of others? Supervisor McCulloch: In a sense he is and in a sense he is not . He is really advancing money and later on it will be refunded when the property is sold. Mr. Byrne: Isn' t it a fact that when the amount for relief has been reduced, that such amount has been used to reduce the tax notes issued against back taxes, instead of reduction of the budget, and doesn' t the law allow the authorities to spend what they desire for relief, notwithstanding the budget item, and finance 80% of this over-spending by borrowing without the consent of the taxpayer? Supervisor McCulloch: Everything that was not spent of the 1941 budget has been used to reduce the tax lien note, but the budget for the coming year shows the actual amount we expect to spend in the coming year. Mr. Byrne: If we did riot have a tax lien note, the budget would have been reduced? Supervisor McCulloch: Yes, it would have been reduced. Mr. Brady: Hove; much were the outstanding taxes last year at this time compared to this $584,000? Comptroller Luceno: The outstanding taxes are a little higher this year than they were last year. Ivlr. Brady: In regard to W. P. A. -projects, is there any work outstanding? Supervisor McCulloch: One project on the old dump with will be completed in two or three weeks and the completion of the Fenimore Road project. Mr. Brady: Will that about complete W. P. A.? Supervisor McCulloch: We spent only about $30,000 last year and took case of about 120 families and kept them off home relief. It is not any more expensive and we have felt that we had the improve- merits to show for the amount expended. Ivir . Bradv: The defense council item of $1,375 . What is that for? Supervisor McCulloch: They asked for $7,000 and I imagine the $1,375 will not be enough. It is for supplies, arm bands for wardens, etc . An unknown person asked the following question: what are our prospects of wiping out . P. A. altogether? 601 Supervisor McCulloch: As long as we have on relief the number of people we now have who need work, we will have to have projects . Mr. George W. Burton, Jr. , "addressed the Board in behalf of the members of the Fire Department and protested against the action of the Town Board in not allowing certain items in the Fire Department budget. He pointed out that on a budget of $23,000 the department gives the services of eight paid men and seventy-five volunteer men, that the fire damage has been less than the amount of materials stolen in the Town and yet the Police Department budget is far greater than the Fire Department budget. He asserted that the Fire Department needs money badly for a new chassis for the flood light equipment, for repairs to the service truck and for repairs to engine No. 2. He also pointed out that five ,years ago they asked for a new pumper and still had not received it. The Supervisor explained that there were three items that the Board had disallowed in their budget: the new chassis, a chief' s car and repairs to the building, all of which they thought the Fire Depart- ment could get along without. Mr. Burton: We need more space and had planned to make alterations . We need a lot more equipment because of these auxiliary firemen for defense. We are definitely short of coats and boots . Supervisor McCulloch: we granted all the budget requested except those three items . Mr. Burton: But then there was no emergency. Supervisor McCulloch: As you know, this budget can not be increased. Probably when the legislature meets again there will be some provision for materials for defense . Vie would have to get to- gether with you about that . Mr. Burton: The Fire Department feels that they have gotten a kicking around. We think we will need $5,000. It is an emergency proposition and we may need it any times now. Mr. Munn Brewer: I suggest that the gentlemen from the Fire Department present their requirements to the Defense Council and then the Defense Council will take it up with the Town Board. Supervisor McCulloch: The only hope in the Fire Department budget for the coming year will have to be in the measure of defense. Mr. George Mills, Jr. : Is there any way that the Fire Department could have their original budget request passed"? Supervisor McCulloch: No. The Board looked at the Fire Department budget particularly from the angle of whether or not the department would be hurt if these three items were taken out and we did not feel that we were hurting the efficiency of the department. :Maybe we made a mistake . As you know, there are no provisions for raising the budget after the hearing. It can only be reduced. Mr. Mills : We would like it to be given consideration. Supervisor McCulloch: I suppose if the Fire Department and Defense Council get together and tell the Town Board that certain things are absolutely necessary, they will be granted. Mr. Brady: What are the total salary increases? Supervisor McCulloch: About $700. We did away with a sewer superintendent and reduced some of the staff in the Welfare Department. Mr. John Koffman: What are the salaries of the councilmen? Supervisor McCulloch: $1,200 per year. Mr. Koffman: Why are they larger than Rye? M Supervisor McCulloch: The unincorporated section of the Town is larger than any of the villages in the Town and there is twice as much work to do here as there . Mr. Koffman: How long have they been receiving it? Supervisor McCulloch: Since the Town government was changed in 1934. Mr. Arthur Brown as a member of the Fire Department thanked the Supervisor and Councilmen for anything that they could give the Fire Department. He stated that they were giving their services free and that they needed this equipment. He said that they felt that the presentation this evening had been a very good one and would serve a very useful purpose . Mr. Brady: As far as the Fire Department is concerned, I would be in favor of seeing them get whatever equipment they need because most likely if we ever will need it, we need it now. Mr. Byrneralso said that he favored it. Mr. T. Roosevelt Allen: I am sure the Taxpayers' League would second that.