The average monthly tax bill for homeowners will increase about $8.38 starting next year. That’s because the Common Council voted to override the New York State tax cap when adopting the city of Peekskill’s 2025 budget at Tuesday’s meeting just after holding a hearing on the spending plan the same night.
The city manager’s initial budget presented last month had a proposed 4.6 percent tax rate but the city council’s final proposed budget was decreased to 3.5 percent. With it, the average homeowner’s bill will go up about $100.57 in taxes for the year, going from about $2,873 to $2,974.
Members had until Friday, Nov. 15 to adopt a budget and all voted in favor of the resolution except Councilman Ramon Fernandez, who also voted against overriding the tax cap. Mayor Vivian McKenzie, who for family reasons had to attend the meeting virtually, could not vote. According to Interim Corporation Counsel Eric Gordon, a member of the council can only vote virtually if they have an emergency or health issue. The meeting was run by Deputy Mayor Patrica Riley in her stead.
“Budget is a hard thing to do every year,” Riley said. “None of us like raising taxes. We all live here. Some of us are homeowners and business owners, and it’s not easy… We really try to be mindful of keeping it as low as possible.”
During one of two hearings, the public gave comments about the tax increase, including Peekskill resident Elena Walker who voiced concerns about how it would impact seniors who make up a majority of homeowners in the area. During the meeting she also pointed to the two percent salary increase the Mayor and Common Council would receive in the new spending plan.
Another Peekskill resident, Rachel Bushner also voiced concerns about overriding the tax cap, saying the money would add up year over year.
“This is a tight squeeze for seniors and people on a fixed income, as well as my husband and I and I think everyone in town,” she said. “This is the second increase in a row that goes over the New York State cap so that’s a little bit concerning. It was a conscious choice to move here when we left Manhattan and these increases happening every year is not sustainable for someone like us.”
According to City Comptroller Toni Tracy, this year there was an allowable two percent increase in the tax levy. The city budget was in excess of the allowable amount by about $490,000 due to increases in the health and retirement benefits.
2025 city budget public hearing
Before a public hearing on adopting Peekskill’s 2025 budget, Tracy gave a breakdown of the expenses, revenues, and debts.
Total general fund expenditure adjustments were $806,696 with the largest coming from personnel services and employee benefits at 43.3 percent and 35.76 percent respectively. New York State retirement was proposed at $515,200.
The only expenditure group the council has the ability to alter or bring down, according to Tracy, is contractual expenses which they brought to 14.26 percent.
Since 2014 the city outstanding debt has decreased by $12 million to $36.5 million. According to Tracy, by 2028 it will be down to about $30 million. These debts usually come from large capital projects, she said, including the EFC Water Fund Bonds. Not all debts to water and sewer projects are reflected in the budget, Tracy said, with the city still finalizing some agreements.
Peekskill resident Jen Zawacki questioned if the city budgeted any funds to improve pedestrian safety and discourage speeding. City Manager Matt Alexander said the city has funding set aside for replacement of signs and is considering replacing signs with lit signs. They’ve also purchased a traffic counter that discreetly measures how fast a car is driving without tipping those cars off.
Zawacki also asked if parts of the budget would go to maintaining and beautifying public spaces such as Pugsley Park and Monument Park. According to Alexander there will be an additional DRI project at Monument and one additional Department of Public Works employee hired.
“I really hope that the city is going to prioritize just the way things look,” Zawacki said. “Because even just walking downtown, like the space where the Harriet Tubman statue was, just looks bad. I would just love to see an increased focus on the beautification of our town because it is so beautiful and it’s just a bummer to see all the litter and weeds and things like that.”
Quality of life reports
City code arrests are up from the last two years. During a report on quality of life, City Manager Matt Alexander shared that city code arrests are up to 200, compared to 174 in 2023 and 192 in 2022.
While the total crime index is projected to be higher than last year’s, crime decreased in several categories including robbery, aggravated assault, and larceny. Crime in other categories such as murder, rape, burglary, and motor vehicle theft is on track to be either the same or increase. There have been two reported rapes, 20 burglaries, ten motor vehicle thefts, and two murders in 2024, Alexander shared.
One of the main focuses on the city’s quality of life initiative is on more minor issues such as traffic tickets, littering, or intoxicated persons. Quality of life calls are currently at 644 compared to last year’s 672, which Alexander cited as a reason for hiring more officers. Meanwhile, traffic tickets are projected to increase from last year’s 3,349 to 4,061.
Other types of violation statistics compared to the same point last year include:
- Rubbish & Litter (282 to 233)
- Work without Permit (81 to 90)
- Overcrowding (29 to 76)
- Overgrowth (182 to 139)
- Nuisance (121 to 143)
- Snow (9 to 118)
- Fire (29 to 44)
- Total (733 to 843)
During the quality of life report, Peekskill Police Chief Leo Dylewski said an investigation that led to four Peekskill buildings being raided by law enforcement searching for drugs came about as a result of quality of life checks in the downtown area.
Resolutions passed
Several resolutions were passed at Tuesday’s Common Council meeting, including one to appoint a conflict counsel, one to request an increase in New York State aid to local governments, and another to adopt the Climate Action Plan.
Members also voted to hold a hearing on amending several local laws, one that would allow the city to create a “Department of Law” and another that would create new zoning distancing requirements for cannabis dispensaries.
