Proposed Watervliet budget would raise taxes 2.9 percent, avoid layoffs

WATERVLIET -- Mayor Mike Manning's proposed budget for the next year would avoid job and service cuts in the city, but raise taxes by 2.9 percent.

Manning said projected cost increases in the next year -- including a 20-percent increase in retirement contributions and a 10-percent increase in health insurance costs -- necessitates the tax increase.

Under the proposed budget, the city would not have to lay off workers or eliminate crucial municipal services. 

Manning said the revenue increases in 2009, including a new city-run ambulance service that is projected to bring in $250,000 and city-run solid waste services that saved the city $100,000 from paying for a private hauler, would not cover the increased expenses for next year. 

The city's fund balance is expected to be $1,000,000 at the end of 2009, said Manning. The city was in deficit of $450,000 in 2003.

A public hearing will be held Dec. 3.