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HomeMy WebLinkAboutTB-11/05/2025 Budget Hearing 1 1 TOWN OF SOUTHOLD COUNTY OF SUFFOLK : STATE OF NEW YORK 2 ------------------------------------------- X 3 TOWN BOARD 4 BUDGET HEARING 5 ------------------------------------------- X 6 7 Southold, New York 8 November 5 , 2025 4 . 00 P . M . 9 10 11 12 13 14 B E F 0 R E : 15 16 ALBERT KRUPSKI JR, SUPERVISOR 17 LOUISA P . EVANS , JUSTICE 18 JILL DOHERTY, COUNCILWOMAN 19 GREG DOROSKI , COUNCILMAN 20 BRIAN 0 . MEALY, COUNCILMAN 21 ANNE H . SMITH, COUNCILWOMAN 22 23 24 25 NOVEMBER 5, 2025 BUDGET HEARING 2 1 INDEX TO TESTIMONY 2 3 Page 4 Public Comments 3-11 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 NOVEMBER 5, 2025 BUDGET HEARING 3 1 PUBLIC COMMENTS 2 SUPERVISOR AL KRUPSKI JR . : So is 3 there anyone who would like to speak to 4 either the operating or capital budget 5 for 2026 ? 6 JUSTICE LOUISA EVANS : Paul , do 7 we have to do a Public Hearing, sort of 8 open it? 9 SUPERVISOR AL KRUPSKI JR . : It 10 was noticed? 11 TOWN CLERK DENIS NONCARROW : 12 No, it was noticed . Yes . Yes . 13 TOWN ATTORNEY PAUL DECHANCE : 14 There ' s no -- there is no summary of 15 the budget . I will say that roll call 16 probably is in order, though . 17 SUPERVISOR AL KRUPSKI JR . : Thank 18 you . Very good . Mr . Clerk, please 19 call the roll . 20 (Roll Call was called by Town 21 Clerk Denis Noncarrow at this time . ) 22 SUPERVISOR AL KRUPSKI JR . : Yes , 23 go right head, sir . 24 DAVID LEVY : Hi . I am David Levy 25 from Laurel . I said before I left the NOVEMBER 5, 2025 BUDGET HEARING 4 1 house that I would be the only one and 2 will be home soon . I won ' t keep you 3 too long . I ' ll be quick . First, I 4 would like to congratulate Councilman 5 Doroski on the results last night , 6 Councilman Mealy, and the Town Clerk 7 Denis , Denis Noncarrow . I ' ve won and 8 lost elections . Winning is better . I 9 congratulate you folks . 10 COUNCILMAN GREG DOROSKI : Thank 11 you . 12 DAVID LEVY : And I wish you luck 13 as you move on . 14 COUNCILMAN GREG DOROSKI : Thank 15 you . 16 DAVID LEVY : Last year at this 17 time, I wrote a letter to the editor of 18 the Suffolk Times speaking about the 19 budget and not taking issue at the 20 budget, but pointing out that you were 21 able to mitigate what would have been a 22 colossal tax increase by applying fund 23 balance, but it was a lot of fund 24 balance . And it was not the first time 25 that the Town has done it . And I NOVEMBER 5, 2025 BUDGET HEARING 5 1 mentioned that tonight because I spoke 2 in the letter about how -- because 3 people reading letters to the editor 4 really don ' t understand the mechanics 5 of putting together a budget . People 6 who sometimes put together budgets 7 don ' t understand the mechanics of 8 putting together a budget . They ' re 9 really complicated . But what you ' re 10 doing when you take money out of your 11 reserve funds , you do that because 12 you ' re spending more money than you ' re 13 taking in . And when I wrote that and 14 pointed out that this is the equivalent 15 of a family putting their normal 16 operating expenses on some kind of an 17 expense account, which they then pay 18 through their savings . I actually 19 heard from members of this Town Board 20 who said to me privately, I never 21 thought about it that way . And maybe 22 that ' s not such a great idea . But the 23 process was pretty far along . So I ' m 24 here tonight to say that we ' re doing 25 the same thing again . And it ' s NOVEMBER 5, 2025 BUDGET HEARING 6 1 absolutely legal . And people always 2 come back at me . It ' s legal . It ' s 3 absolutely legal , but it ' s a bad idea . 4 I don ' t know what to say because a lot 5 of governments are in the situation 6 that Southold is in, but you can ' t keep 7 spending more than you ' re taking in . 8 If you didn ' t have that money available 9 today, your 2 . 94% proposed tax 10 increase , which I realize you ' re trying 11 to stay under the 2% cap, which we all 12 understand is neither 2% nor is it a 13 cap . And in fact, it has almost no 14 application in this Town because to get 15 a majority or a supermajority of a six 16 member Board, you only need four 17 members . Exceeding the cap really 18 doesn ' t change anything except that you 19 have to pass an additional item before 20 you can adopt the budget in that 21 condition . But I just want to make 22 sure that everybody understands that 23 you are, again, spending more than 24 you ' re taking in, and it ' s not a little 25 bit . It ' s $5 . 05 million is what you ' re NOVEMBER 5, 2025 BUDGET HEARING 1 proposing . And I would point out that 2 in the last year, you used or budgeted 3 to use $5 . 095 million . And according 4 to the budget documents for this year, 5 you ' re going to overspend that by half 6 a million . And that ' s not me 7 surmising . That ' s in your paperwork . 8 You just have to know how to read it . 9 So I don ' t know what to say except to 10 bring that to your attention . One of 11 the council members was quoted as 12 saying, pointing to last year ' s tax 13 increase , which was significant, but 14 much less than was needed to balance 15 the budget , which is why you had to 16 draw more than $5 million in reserve 17 funds , that you were making up for the 18 previous year when there was no tax 19 increase . And that ' s only partially 20 correct, because the previous year ' s 21 tax increase was avoided because the 22 previous administration, I realize that 23 wasn ' t your budget , that the previous 24 administration had dipped into fund 25 balances . So we ' ve done that now in NOVEMBER 5, 2025 BUDGET HEARING 8 1 ' 24 , ' 25 , and I haven ' t gone back to 2 ' 23 and ' 22 . I assume it was done then 3 too . Eventually, when you run out of 4 this money, and you will , you ' re going 5 to have no choice but to either 6 drastically cut services or come close 7 to doubling taxes . And I ' m certainly 8 not recommending that you do that . 9 That ' s my statement . 10 SUPERVISOR AL KRUPSKI JR . : Thank 11 you . I appreciate that insight into 12 it . And, you know, this was done with 13 purpose . It wasn ' t done accidentally . 14 We are trying to minimize the amount of 15 taxes that we increase . And that money 16 is that -- the fund balance is the 17 taxpayers ' money also . That was 18 collected . And with inflation, it ' s 19 worth less and less every day . So we 20 know it ' s there for a reason . We ' re 21 trying to use it judiciously . And we 22 understand that at this pace, it ' s not 23 sustainable . 24 DAVID LEVY : By the way, why you 25 have all that money is another NOVEMBER 5, 2025 BUDGET HEARING 9 1 question, which I haven ' t gone into . 2 If the State Controller ' s office had 3 ever done an audit for you to have fund 4 balances in those individual funds to 5 the extent you do, because that ' s a 6 sign that something is wrong or 7 somebody has been seriously overtaxing 8 the residents , not currently, but in 9 those past years . It ' s a whole other 10 issue . But it ' s there . Right now, 11 it ' s good it ' s there, but it won ' t be 12 there for long because you ' re going 13 through it at a very rapid flip . 14 SUPERVISOR AL KRUPSKI JR . : We 15 understand that . 16 COUNCILWOMAN JILL DOHERTY : Yes , 17 it ' s not healthy to have a high fund 18 balance . The auditors don ' t like to 19 see that , as you point out . And we are 20 cognizant not to go below a certain 21 amount . And that ' s how we try to 22 balance of not raising the taxes so 23 much . And, you know, I mean, these are 24 interest-bearing accounts , so we are 25 making money on this fund balance , NOVEMBER 5, 2025 BUDGET HEARING 10 1 which is , I understand, doesn ' t mean 2 that we ' ll , you know, not deplete it , 3 but we ' re very cognizant of it . Our 4 Controller is always mindful to remind 5 us of all those things . 6 DAVID LEVY : Just wanted to ask 7 out of curiosity, which is not really 8 relevant to the budget, but does the 9 Town have a fund balance policy? 10 COUNCILWOMAN JILL DOHERTY : Yes , 11 we do . 12 DAVID LEVY : Because the ratings 13 agencies love to see that . 14 COUNCILWOMAN JILL DOHERTY : We 15 developed the policy probably 10 years 16 ago . 17 DAVID LEVY : I appreciate that . 18 I thank you for the opportunity to 19 speak to you . And I ' m thankful for a 20 reason for convening at this time . 21 SUPERVISOR AL KRUPSKI JR . : Thank 22 you for paying attention . 23 DAVID LEVY : Yeah . I appreciate 24 it . 25 COUNCILMAN GREG DOROSKI : Thank NOVEMBER 5, 2025 BUDGET HEARING 11 1 you very much . 2 SUPERVISOR AL KRUPSKI JR . : All 3 right . I don ' t see anyone on the Zoom . 4 Would you like to speak to address the 5 Board, sir? 6 (No Response ) . 7 SUPERVISOR AL KRUPSKI JR . : All 8 right . Thank you . 9 JUSTICE LOUISA EVANS : All right . 10 Motion to adjourn until 7 : 00 . 11 COUNCILWOMAN JILL DOHERTY : 12 Second . 13 SUPERVISOR AL KRUPSKI JR . : All 14 in favor? 15 COUNCILWOMAN JILL DOHERTY : Aye . 16 COUNCILMAN GREG DOROSKI : Aye . 17 COUNCILMAN BRIAN MEALY : Aye . 18 COUNCILWOMAN ANNE SMITH : Aye . 19 JUSTICE LOUISA EVANS : Aye . 20 SUPERVISOR AL KRUPSKI JR . : Aye . 21 Thank you . 22 23 (Whereupon, the meeting was 24 adjourned . ) 25 NOVEMBER 5, 2025 BUDGET HEARING 12 1 C E R T I F I C A T I O N 2 3 I , Jessica DiLallo , a Notary 4 Public for and within the State of New 5 York, do hereby certify : 6 THAT, the within transcript is a 7 true record of said Board Meeting . 8 I further certify that I am not 9 related either by blood or marriage to 10 any of the parties to this action; and 11 that I am in no way interested in the 12 outcome of this matter . 13 IN WITNESS WHEREOF, I have 14 hereunto set my hand this day, 15 November 5 , 2025 . 16 17 18 (Jed sic DiLallo) 19 20 21 22 23 24 25