A decrease in the city’s budget and tax rate is shown in the proposed 2024 City of Newburgh budget.

The proposed 2024 Budget for the City of Newburgh is $97.6 million, an amount that accounts for all the city’s income and expenditures. The proposed budget further advances the goals set out by the city manager while notably decreasing the homestead tax rate by 17 percent and the non-homestead tax rate by 29 percent. For the proposed budget, the 2024 tax levy is $23.57 million, a decrease of $57,906 from last year.

The 2024 budget was prepared by City Manager Todd Venning in partnership with City Comptroller Janice Gaston and Assistant City Comptroller Jacqueline Luna-Davey.

“This is the first attempt at a balanced budget that goes to the city council between now and adoption on November 27,” Venning said on October 10. “Any changes or proposals by the city council will be included. I’ll remind everyone that there is a public hearing on the budget, November 13.”

In addition to reducing the tax levy and reducing the homestead tax rate 17 percent and the non-homestead tax rate 29 percent, the city manager’s proposed budget continues Newburgh’s $100 million infrastructure improvement plan with a 20% boost to public works spending, including $1 million for paving and road resurfacing; implements new collective bargaining agreements, including a 28% increase in police officer salaries; and reduces the use of fund balance in line with the multi-year financial plan. The City Manager’s proposed budget reducing the property tax levy while boosting public works and public safety spending is the latest achievement in a series of recent recognitions of the City’s fiscal excellence.

“My 2024 budget proposal reduces the property tax levy and slashes tax rates for the fifth consecutive year while continuing the City’s $100 million infrastructure improvement plan and increasing public safety spending 12 percent,” said Venning in a prepared statement. “Our focus on expanding the tax base and cultivating alternative revenue sources from parking and the hotel occupancy tax has reduced the City’s reliance on property taxes to fund capital projects and operational expenses. In partnership with the City Council, my administration will continue to expand the local economy and maintain the open and transparent budgeting process that is returning the City to prosperity.”

For the General Fund, the homestead tax rate for the fifth consecutive year and the non-homestead tax rate for the fourth consecutive year will decrease. Homestead properties are classified as one, two or three family homes or condos and non-homestead properties are four or more family homes and some condos. The assessed value of taxable properties, homestead and non-homestead, has been recorded at $1.9 billion, compared to $1.48 billion last year, a 28 percent increase.

With the General Fund, the city would also decrease levels of fund balance while keeping service levels high, improve the training and performance of city departments and would look to implement collective bargaining agreement wage increases.

For the Enterprise Funds, which account for water, sewer and sanitation, the city would look to a 6% water rate increase in accordance with the city water rate study, a 6.48% sewer rate increase in accordance with the city sewer rate study, no increase to the sanitation rate, fund capital needs for the sewer fund and again look to implement collective bargaining agreement wage increases. There is also a self-insurance (the liability insurance for the city) cost of $3.5 million

The proposed 2024 budget amount of $97.6 million is a 5.3% increase from 2023 adopted budget at $92.6 million. The general fund in the 2024 budget is $66.6 million and the remaining enterprise funds, which account for water, sewer and sanitation, is $27.4 million. In November 2022, the proposed general fund amount for 2023 was adopted at $63.8 million. This represents an increase of 6.3% in the 2024 budget over the 2023 budget.

Within the budget, proposed personnel changes noted for 2024 include part-time police officers, a network administrator, a desktop technician, a street opener and an Administrative Assistant (Communications Coordinator).

Within the General Fund, real property taxes make up 35% of the budget (a decrease from last year), non-property taxes at 25% (an increase from last year) and state aid at 21% (an increase from last year).

Other revenue sources for the city included the money from parking meters installed last year and the hotel motel occupancy tax implemented within the city.

The 221 page City Budget Booklet is available on the city website under the Finance/Comptroller department tab for further public review. City residents will have the opportunity to comment on the budget during a public hearing on Monday, November 13. The city budget and tax levy will be adopted on November 27.