New York State Comptrol ler
THOMAS P. DiNAPOLI
COMPTROLLEROffice of the NEW YORK STATE
2019 Annual Report On Local Governments
FEBRUARY 2020
20191Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Table of Contents
Division of Local Government and School Accountability: Mission and Goals 2
A Message From New York State Comptroller Thomas P. DiNapoli 3
The State of Local Governments 5Revenues ..................................................................................................................................... 6
Expenditures .............................................................................................................................. 10 Debt ........................................................................................................................................... 12
Fiscal Stress .............................................................................................................................. 15 Risks and Opportunities............................................................................................................. 16
Legislation Affecting Local Governments 23
Services and Resources 25Audits and Oversight ................................................................................................................. 25 Local Official Training ................................................................................................................ 27 Research on Local Governments .............................................................................................. 27 Justice Court Fund .................................................................................................................... 28
Local Government Data 29
Financial Data Summary Table 30
Notes 31
Local Government and School Accountability Contacts 33
Division of Local Government and School Accountability
2 2019 Annual Report Office of the New York State Comptroller
Mission and GoalsThe mission of the Division of Local Government and School Accountability
is to serve taxpayers’ interests by improving the fiscal management of municipalities and school districts in New York State.
To achieve our mission, we have developed the following goals:
•Enableandencouragelocalgovernmentofficialstomaintainorimprovefiscalhealthbyincreasingefficiencyandeffectiveness,managingcosts,improvingservicedelivery,andaccountingforand protecting assets.
• Promote government reform and foster good governance incommunitiesstatewidebyprovidinglocalgovernmentandschoolofficialswithup-to-dateinformationandexperttechnical assistance.
A Message FromNew York State Comptroller Thomas P. DiNapoli
AsStateComptroller,oneofmymostimportantresponsibilitiesisto monitor the financial operations of the State’s local governments. In2019,theOfficeoftheStateComptroller(OSC)continuedtofostertheefficientuseoftaxpayers’dollarsinmanyways,includingcompletingover350auditsofmunicipalities,schooldistrictsandotherlocalentities,trainingnearly8,000localgovernmentofficialsandstaff,andgatheringandreportinglocalgovernmentfinancialdata.
OSC’s website is a valuable resource for those interested in local governmentfinancialinformation.Asalways,userscanaccessfinancialreportsforindividuallocalgovernments;theycannowalsoconducttheirownanalysiswithouruser-friendlyinteractive
dashboards.Ofcourse,visitorscanalsouseOpenBookNewYorktolearnaboutspecificentitiesor download comprehensive datasets that compare all entities within a class of local government. These resources are available to help local officials perform their duties and keep the public informed of what is happening with their local tax dollars.
ThevastmajorityofNewYork’slocalgovernmentsandschooldistrictsarenotinfiscalstress,accordingtoourFiscalStressMonitoringSystem,butchallengesremain.Ever-changingfiscalrelationships with the State often raise concerns for local officials and require ongoing attention. Whatevertheenvironment,myofficewillcontinuetoprovideinformation,assistanceandguidancetolocalofficialsandtaxpayers.Inadditiontoourauditsandbudgetreviews,weprovidein-personandonlinetraining,collectandpostextensivelocalgovernmentfinancialdata,andpublishresearch reports on topics of interest.
The Office of the State Comptroller and the Division of Local Government and School Accountabilityremaincommittedtoprovidingthepublicwiththebestinformationavailableaboutlocalgovernments.Ihopeyoufindthisreportuseful,andIencourageyoutovisitourwebsiteandfollowusonFacebook,TwitterandYouTubeforthelatestonourwork.
Sincerely,
ThomasP.DiNapoli State Comptroller
3Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
The State of Local GovernmentsThisannualreportfocusesonlocalfiscalyearsending(FYE)in2018,thelatestdataavailableforallclassesoflocalgovernmenttogether,anddescribessomeofthefactorsdrivingchangesinlocalrevenues,expendituresandindebtednessovertime.NewYorkCityisexcludedfromthisanalysisunless otherwise indicated.1
Thisreportfeaturesseveralone-page“dashboards”–chartsthat,takentogether,provideaquickoverviewofmajoraspectsoflocalgovernmentfinances.Dashboardsforrevenues,expendituresanddebtaccompanythesectionsthatfocusontheseareas.Additionaldashboardsofferseparatepresentationsforeachclassofgovernment(counties,cities,towns,villages,firedistrictsandschooldistricts)includedinthisreport.AnaggregateFYE2018financialdatatableisincludedattheendofthereport.Additionally,weofferasetofinteractivedashboardsonlinetoenableuserstoviewdataforindividualcounties,cities,towns,villagesandschooldistricts.
5Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Revenues
Totalrevenuesforlocalgovernmentswere$82.7billionforthelocalfiscalyearendingin2018.Overthelastdecade,totallocalrevenueshavegrownatacompoundaveragerateof1.9percentperyear.Schooldistrictrevenuesamountedto$41.7billion,alittlemorethanhalfofthetotal,andcountiesgenerated$24.7billion,almost30percent.Cities,towns,villagesandfiredistrictscombinedreported$16.2billion(20percent).Thethreemajorrevenuesourcesformostlocalgovernmentswerepropertytaxes,Stateaid,andsalesandusetaxes.(SeetheRevenuesDashboard.)
Property Taxes
Therealpropertytaxisthelargestsourceofrevenueforlocalgovernments,generating$35.7billion,or43percentofallrevenueinFYE2018.LocalgovernmentsaresubjecttotwoseparatepropertytaxlimitsinNewYork:thetaxlevylimit(“taxcap”)andtheConstitutionalTaxLimit.
Real Property Tax CapThetaxcaplimitsyear-over-yearlevygrowthto2percentannuallyortheinflationrate,whicheveris lower.2Between2013and2018,lowinflationrates kept the allowable levygrowthfactor(ALGF)under 2 percent. The ALGFs calculated for municipalities with fiscal yearsendingin2017approached zero. While the rate rose to 2 percent formostofFYE2019and2020,morerecentinflation rates have caused the ALGF to be under2percentforFYE2021.(SeeFigure1.)
6 2019 Annual Report Office of the New York State Comptroller
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
01/01
/1205
/01/12
09/01
/1201
/01/13
05/01
/1309
/01/13
01/01
/1405
/01/14
09/01
/1401
/01/15
05/01
/1509
/01/15
01/01
/1605
/01/16
09/01
/1601
/01/17
05/01
/1709
/01/17
01/01
/1805
/01/18
09/01
/1801
/01/19
05/01
/1909
/01/19
01/01
/2005
/01/20
Allowable Levy Growth Factors Affecting FYE 2017
Maximum Allowable Levy Growth Factor
Source:OfficeoftheNewYorkStateComptroller(OSC).
Allowable Property Tax Levy Growth Factor by Fiscal Year Beginning Date
Figure 1
7Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Revenues by Source
Trends in Total Revenues
Source: OSCNotes: Includes New York State counties, cities, towns, villages, school districts and fire districts except New York City. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief (STAR payments). Other local taxes and revenues include other non-property taxes, charges to other governments, use and sale of property, and other local revenues.
Fiscal Year Ending in 2018Revenues - All Major ClassesState aid grew at an
annual rate of
2.1%over 10 years
Total revenues grewat an annual rate of
1.9%over 10 years
School districtsreceived
62.8%of real property taxes
Federal aidtotaled
$4.5billion
0.0%0.5%1.0%1.5%2.0%2.5%3.0%3.5%4.0%
Year-Over-Year Change
Revenue growth has been slower in recent years than it was pre-recession
$35.7(43%)
$10.5(13%)
$5.6(7%)$6.0(7%)
$20.4(25%)
$4.5(5%)
Total Dollars (in billions)
$83billion
80
100
120
140
160
180Trend (Indexed FYE 2008 = 100)
Federal aid increased in response to recession
T
Percentage of Total for Each Class
Annual Growth Rate
Revenue Sources County City Town VillageSchool District
Fire District
Real Property Taxes 23.1% 25.9% 53.6% 48.5% 53.7% 93.3%
Sales and Use Taxes 33.8% 18.9% 9.6% 6.0% 0.7% 0.0%
Charges for Services 9.6% 19.9% 13.9% 27.6% 0.9% <0.1%
Other Local Taxes and Revenues 11.4% 12.3% 12.8% 9.8% 3.1% 5.8%
State Aid 12.4% 17.8% 7.5% 5.8% 37.7% 0.4%
Federal Aid 9.6% 5.2% 2.5% 2.3% 3.9% 0.6%
2008 to 2018 2017 to 2018County 1.6% 2.5%
City 1.8% 2.1%
Town 1.9% 3.7%
Village 1.6% 2.0%
School District 2.2% 2.6%
Fire District 2.7% 4.1%
Total 1.9% 2.6%
Real PropertyTaxesSales and UseTaxesCharges for Services
Other Local Taxes and Revenues
State Aid
Federal Aid
Constitutional Tax Limit (CTL)
The CTL restricts the amountsofpropertytaxanycounty,cityorvillagemayraisebytaxingrealpropertyinanysinglefiscalyear,asa percentage of average fullvalueofrealproperty.3 Ifacounty,cityorvillageexceedsitsCTL,theState Comptroller must withhold State aid in the amount of the excess. Once a local government is within 80 percent of itsCTL,itsbudgetaryflexibilityisaffected,sincefull value decreases or levyincreasestendtopushittowardexceedingthelimit.Inthelastsixyears,thenumberofentitiesexhausting80percentormoreoftheirlimithasbeengrowing–from7inFYE2012to20inFYE2019.TheCityofJamestownwasat100percentofitsCTLin2017,2018and2019.4(SeeFigure2.)
State Aid
Stateaidisthenextlargestrevenuesourceforlocalgovernmentsoverall.Itisparticularlysignificantforschooldistricts,accountingfor38percentoftotalrevenuesinFYE2018.(SeeSchoolDistrictDashboard.)However,Stateaidalsorepresentsasignificantshareofrevenuesforotherlocalgovernments,whetherforsocialserviceprogramsincounties,forhighways(mostlyincitiesandtowns)orasunrestrictedmunicipalaid(mainlyincities).Stateaid,especiallytoschooldistricts,increasedbetween2008and2018,withmostofthisgrowthoccurringinthesecondhalfofthedecade and following earlier decreases.
8 2019 Annual Report Office of the New York State Comptroller
2 26
9
15
20
26 26
1815
11 10 97 8
1012
1418
0
5
10
15
20
25
30Over 90%80% to 90% 20 20
Source:OSC.ExcludesNewYorkCity.
Municipalities with 80 Percent or More of Their CTL ExhaustedFigure 2
Selected Statistics on Local Sales Tax CollectionsFigure 3
Year-Over-YearChangebyQuarter,2014Q4through2019Q4
Source:NewYorkStateDepartmentofTaxationandFinance,withcalculationsbyOSC.Includescountyandcitysalestaxes. Notes:IncludesNewYorkCity(NYC).Adjustedforcorrectionadding$238milliontocollectionsforNYCincalendaryear2015.
Annual Growth in 2019 Compared to 2018byRegion
Sales Tax
At33.8percentoftotalrevenues,thesalestaxisthelargestsourceofrevenueforcounties.Itisalsoanimportantsourceofrevenueforcities(18.9percent)andtowns(9.6percent).
Aftergrowingslowlyin2015and2016,salestaxcollectionsgrewmorerapidlyfrom2017onward.Indeed,mostupstateregionsexperiencedsignificantcollectionsgainsin2018,withmoremodestgrowthin2019.Overall,in2019localsalestaxcollectionsintheStateincreasedannuallyby4.7percent.5(SeeFigure3.)
9Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
2.4%
0.8%
3.8%
7.2%
3.1%
5.6%
0%1%2%3%4%5%6%7%8%9%
2014Q4through2019Q4
Source:New YorkStateDepartmentofTaxationandFinance,withcalculationsbyOSC.Includescountyandcitysalestaxes.Notes:IncludesNewYorkCity(NYC).Adjustedforcorrectionadding$238milliontocollectionsforNYCincalendaryear20
Annual Growth in 2019 Compared
5.0%
7.4%
3.6%
3.9%
3.3%
3.4%
3.5%
4.1%
2.3%
4.3%
New York City
Mid-Hudson
Long Island
Western New York
Southern Tier
North Country
Mohawk Valley
Finger Lakes
Central New York
Capital DistrictUp
stat
eDo
wnst
ate
Expenditures
Totalexpendituresbylocalgovernmentswere$85.8billioninFYE2018.6(SeeExpendituresdashboard.)Halfofthisspendingwasbyschooldistricts,withcountiesaccountingfor30percentoflocalgovernmentexpenditures.(SeeFigure4.)
Spendingcanbeexaminedby“function”and“object”ofexpenditure.
By FunctionA functional presentation of expenditures describes what general purpose the spendingisfor,suchaspublicprotectionortransportation.Statewide,educationrepresents the largest function of government,becauseschooldistrictexpendituresarealmostentirelyinthiscategory.Expendituresinsupportoflocalgovernmentlegislative,judicialandexecutiveoperations,andfinancialservicesare part of the general government category,thesecondlargestfunction.Functional presentations for individual entities are available in the interactive data being released with this report.
By Object The object of expenditure refers to the items purchased or services obtained in ordertocarryoutafunction.7 These include personalservices(salaries),employeebenefits,equipmentandcapitalpurchases,suppliesanddebtservice.Employeecosts(salariesandbenefitstogether)accountedforoverhalfofexpendituresbylocalgovernments,rangingfrom36percentofall expenditures for counties to 66 percent forschooldistricts.Overthepasttenyears,employeebenefitshavebeenthefastestgrowing component of local government expenditures,increasingatacompoundannual rate of 3.7 percent from 2008 to 2018,evenastotalexpendituresonlygrewby1.8percentperyear.
Fire Districts, $0.9 ,
1%
School Districts, $43.1 , 50%
Villages,$3.1 , 4%
Towns, $8.2 ,9%
Cities, $5.2 ,6%
Counties,$25.4 , 30%
Source:OSC.Basedonlocalfiscalyearend.ExcludesentitiesthathadnotfiledtheirfinancialreportsbyOctober31,2019.ExcludesNewYorkCity.
Total Expenditures by Class of Local Government Fiscal Year End 2018 (In Billions)
Figure 4
School Districts, $43.1, 50%
Fire Districts,$0.9, 1%
Towns,$8.2, 9%
Counties,$25.4, 30%
Villages,$3.1, 4%
Cities,$5.2, 6%
10 2019 Annual Report Office of the New York State Comptroller
$2.6
$1.4$1.7
$2.3
$2.9 $2.9
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
School DistrictsOther
Counties
Source:OSC.Basedonlocalfiscalyearend."Other"includescities,towns,villagesandfiredistricts.ExcludesNewYorkCity.
Expenditures on Equipment and Capital OutlayFigure 5
(In B
illio
ns)
Total Expenditures by Object
Selected Expenditures by Function
Source: OSCNotes: Includes New York State counties, cities, towns, villages, school districts and fire districts except New York City. The annual rate for 2008 to 2018 is the compound annual growth rate. Debt service includes payments made on principal and interest. The "Other" category of selected expenditures by function includes health, sanitation, economic development, culture and recreation, community services and utilities.
Expenditures - All Major Classes Fiscal Year Ending in 2018
Employee benefits grewat an annual rate of
3.7%over 10 years
Total expenditures grewat an annual rate of
1.8%over 10 years
School districts accounted for
50.2%of total spending
Salaries and benefits accounted for
53.7%of total spending
$30.0(35%)
$16.1(19%)
$27.1(32%)
$7.1(8%)
$5.5(6%)
Personal Services
Employee Benefits
Contractual Items
Equipment and Capital Outlay
Debt Service
Total Dollars (in billions)
$86billion
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$13.1
$26.6
$6.8$4.3
$5.7$7.7
GeneralGovernment
Education
Public Safety
Transportation
Social Services
Other
Total Dollars (in billions)
90
100
110
120
130
Trend (Indexed FYE 2008 = 100)
T
Percentage of Total for Each Class
Object of Expenditure County City Town VillageSchool District
Fire District
Personal Services 21.2% 34.9% 27.2% 29.3% 45.3% 18.6%
Employee Benefits 14.6% 24.9% 16.6% 17.8% 21.0% 20.1%
Contractual Items 52.1% 20.2% 31.5% 28.9% 21.2% 28.1%
Equipment and Capital Outlay 6.6% 12.0% 14.2% 16.2% 6.7% 26.2%
Debt Principal 3.5% 5.9% 8.3% 6.1% 4.5% 5.3%
Debt Interest 1.9% 2.1% 2.0% 1.8% 1.4% 1.7%
11Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Forseveralyearsfollowingthe2008financialcrisis,expendituresonequipmentandcapitaldeclined,althoughtheyhaverecoveredsince2014.Thedeclinewasmostnoticeableforschooldistricts,whereexpendituresdroppedby42percentfrom2010to2014.(SeeFigure5.)Thespendinglaginthisareacouldindicatethatlocalgovernmentsmayhavedeferrednecessaryinfrastructureinvestmentsandothercapitalimprovements,whichcanleadtohigherspendinglater.However,in2018equipmentandcapitalexpenditureswerebackatnear2010levelsforschooldistrictsandat10-yearhighsforcounties and certain other local governments.8
Debt
Mostlocalgovernmentsthatissuedebtareborrowingforcapitalormajorequipment,suchaswaterandsewersystems,roads,bridges,buildingsanditemssuchasvehiclesandcomputersystems.9 The“periodofprobableusefulness”ofacapitalassetsetsthemaximumperiodthatthelocalgovernmentcanrepaythisdebt.However,incertaincases,debtcansignalfiscalstress,suchasanoverrelianceonlong-termdebt,excessiveuseofshort-termdebt—andintheworstcases—needingState-authorizeddeficitfinancinginordertoremainsolvent.Onemeasureofthecapacitytosupportdebtisdebtasapercentageoftotalrevenues.(SeeDebtDashboard.)
Outstanding Debt
AttheendofFYE2018,localgovernmentshad $43.4 billion in debt outstanding. This represents a 10 percent increase from the debtoutstandingin2008.However,debtoutstanding is still less than 2010 levels. SchooldistrictdebthasincreasedslightlyfromFYE2017afterdecliningsignificantlyfrom 2010 to 2016. Debt for most other typesofgovernmentincreasedoverthelastdecade,withlargerincreasesforcountiesandfiredistricts.(SeeFigure6.)
$13.4
$17.1
$13.1
$0
$5
$10
$15
$20
$25
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
School Districts
Counties
Other
Source:OSC.Basedonlocalfiscalyearend."Other"includescities,towns,villagesandfiredistricts.ExcludesNewYorkCity.
Debt Outstanding by Class of Local GovernmentFigure 6
(In B
illio
ns)
12 2019 Annual Report Office of the New York State Comptroller
Total Debt Outstanding
Short-Term Debt Outstanding
Debt Service
Source: OSCNotes: Includes New York State counties, cities, towns, villages, school districts and fire districts except New York City. The annual rate for 2008 to 2018 is the compound annual growth rate. Debt service includes payments made on principal and interest. Short-term debt includes revenue anticipation notes, tax anticipation notes, budget notes and deficiency notes. Shares of debt that are less than 1 percent are not shown in the pie charts above.
Debt - All Major Classes Fiscal Year Ending in 2018
10.7% 10.9%
0.7% 1.2%
2.9%
0.1%
Percentage of Entities in Each Class That Have Short-Term Debt
5.5%
8.5%
11.1%
8.5%
6.1%7.1%
2.6%
7.3%
4.0%
6.9% 6.5%4.8%
Counties Cities Towns Villages SchoolDistricts
FireDistricts
As a Share of Total Revenue
Med
ian
Aggr
egat
e
$0
$1
$2
$3
$4
$5
$6Trend (in billions)
Principal
Interest
Local governmentspaid
$5.5billion in debt service
Total debt grew atan annual rate of
1.0%over the last 10 years
School districtsaccount for
39.4%of debt outstanding
Short-term debt was issued by
2.1%of local governments
$1,056(88%)
$57(5%)
$70(6%)
Counties
Cities
Towns
Villages
School Districts
Fire Districts
Total Dollars (in millions)
$1.2billion
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$13.4(31%)
$3.5(8%) $6.1
(14%)$2.4(6%)
$17.1(40%)$0.5
(1%)
Counties
Cities
Towns
Villages
School Districts
Fire Districts
Total Dollars (in billions)
$43billion
13Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Debt Service
Totaldebtservicepayments(principalandinterest)increasedby7.2percentbetween 2008 and 2018. Even this modestincreasewasentirelydueto a 16 percent increase in principal payments;interestpaymentsactuallydeclinedby12percentduringthisperiod.(SeeFigure7.)Thisisapositivedevelopment,sinceitsuggestslocalgovernmentsarepayingoffoutstandingdebtmorequickly.Thiswouldallowforalong-termreductionindebtservicepayments,increasingfinancialflexibility.
Short-Term Debt
Localgovernmentscanfindthemselvesneedingtoborrowtohelpthemaddressatemporarycashflowproblem.Thismaystemfromunanticipatedexpenditures(e.g.,anaturaldisasterorotherunforeseeableevent)orcashflowtimingissues(e.g.,expenditurepaymentsduebeforerevenuesarecollected).10However,asnotedabove,short-termdebtcanalsoindicatethatalocalgovernmentisnotmanagingitsfinanceseffectively,andincreasingrelianceonshort-termdebtissuancecanbeasignoffiscalstress.In2018,localgovernmentshad$1.2billioninoutstandingshort-termdebt,althoughonly2.1percentofalllocalgovernmentsreportedhavingany.Countiesissuedthelargestamountofshorttermdebt,accountingfor88percentofthetotal.
Deficit Financing
Inseverecasesoffiscalstress,whererecurringrevenuehasfailedtofundcurrentoperations,alocalgovernmentorschooldistrictmayseekassistancefromtheStatetoenactaspeciallawthatwouldallowthemtoissuedeficit-financingbonds.Thesebondsaremeanttoassistalocalgovernmentorschooldistrictinresolvingitscurrentbudgetshortfalls.Through2018,eightlocalgovernmentshavereportedoutstandingdeficit-financingbonds.11In2019,theCityofAmsterdamwasalsoauthorizedtoissuedeficit-financingbondsofupto$8.3millionthatmayberepaidovertenyears.12
$0.0$0.5$1.0$1.5$2.0$2.5$3.0$3.5$4.0$4.5
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Principal
Interest
Source:OSC.Basedonlocalfiscalyearend.ExcludesNewYorkCity.
Debt Service – Interest and Principal PaymentsFigure 7
(In B
illio
ns)
14 2019 Annual Report Office of the New York State Comptroller
Fiscal Stress
According to the Comptroller’s Fiscal Stress Monitoring System(FSMS),35localgovernments and 26 school districts were in fiscalstressinFYE2018,decliningslightlyfrom37local governments and 26 school districts for the yearprior.13
Cities and counties are generallymorelikelythan other classes of local government to show signs of fiscal stress.InFYE2018,thepercentageofcountiesinstressdecreasedslightly,butthepercentageofcitiesinfiscalstressincreasedsubstantially.IndividualscoresandmoreinformationaboutFSMSareavailableat www.osc.state.ny.us/localgov/fiscalmonitoring.14(SeeFigure8.)
15Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
17.9%14.5%
1.1% 2.0%3.9%
14.3%
22.6%
0.8% 1.6%3.9%
Counties Cities Towns Villages School Districts
2017 2018
Source:OSC.Basedonlocalfiscalyearend.Thisanalysisincludesonlymunicipalitiesthatfiledconclusivedatawith OSC in time to receive a fiscal stress score.
Percentage of Municipalities in a Fiscal Stress Category by YearFigure 8
Risks and Opportunities
While most local governments and school districts are not in fiscal stress according to OSC’s Fiscal StressMonitoringSystem,theycontinuetofacefinancialpressuresonmanyfronts.
HealthinsurancepremiumratesintheStatecontinuetoincrease,andbasedondatareportedbylocalgovernments,expendituresonequipmentandcapitalmayhavebeendeferredinprioryears,which can lead to rising expenses in the future.15Onapositivenote,employercontributionratesfortheNewYorkStateandLocalRetirementSystem(NYSLRS)remainflatforStateFiscalYear(SFY)2020-21—theseventhstraightyearthepensioncontributionratehaseitherbeenloweredoressentiallykeptflat.16
Ontherevenueside,thepropertytaxcaphasrecentlydippedbelowthe2percentmaximum,which will impact how much local governments and school districts can raise through tax levies withoutseekinganoverride.Inafewcases,suchastheCityofJamestown,theCTLwillcontinuetoconstraintheabilityoflocalgovernmentstoincreasetaxlevies.Inaddition,theSFY2019-20EnactedStateBudgetmadecountiesresponsibleforfunding$59millioninpaymentstotownsandvillagesthathadpreviouslyreceivedfundingfromtheState’sAidandIncentivesforMunicipalities(AIM)program.17
ThefutureholdsbothriskandpromiseforNewYork’slocalgovernments.Stateaidisanimportant revenue source for school districts and most other local government entities; the State currentlyfacesbudgetarychallengesthatmayresultinactionstolimitlocalassistanceorshiftcoststolocalities.Atthelocallevel,newtechnologies,suchasinteractiveonlinecommunicationwithresidents,trackingsoftwareonmunicipalequipmentandstreetlightswithupgradedLEDtechnology,arereshapinghowlocalgovernmentservicesaredeliveredacrosstheState.Thishastremendouspromiseforgreaterefficiencyandbetterserviceprovision,butalsoopensthedoortosignificant new risks in keeping data about both residents and government operations secure.18
Localgovernmentsshouldcontinuetobudgetconservativelyandseekinnovativesolutionsthatcontain costs while enabling them to provide needed services. Exploring shared services to achievesavingsorimprovequalitymaybeavaluablestrategy.19Ultimately,anintegratedmultiyearplanningprocesscanbeofgreatassistanceinmeetingallthesechallengesandinidentifyingfutureopportunitiestoimproveoperationsandfinances.TheState'sFinancialRestructuringBoardforLocalGovernmentshasfundingavailabletohelpeligiblemunicipalitiesengageinmultiyearplanningwiththeassistanceofanexternaladvisor.(Seefrb.ny.gov.)
On the following pages are dashboards that summarize financial data for counties, cities, towns, villages, school districts and fire districts.
16 2019 Annual Report Office of the New York State Comptroller
Revenues by Source
Expenditures by Object
Debt Trends
Fiscal Year Ending in 2018Financial Data for Counties (57 Total)
Notes: Includes New York State counties except the five boroughs of New York City. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues shown above also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief payments (STAR payments).
Source: OSC.
Total debt outstanding amounted to
$13.4billion
Real property taxesaccounted for
23.1%of total revenues
Employee benefits grewat an annual rate of
3.0%over 10 years
Total revenues grew atan annual rate of
1.6%over 10 years
$5.7(23%)
$8.4(34%)
$2.4(10%)
$2.8(11%)
$3.1(12%) $2.4
(10%)
Total Dollars (in billions)
$25billion
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
Federal aid increased in response to recession
60
80
100
120
140Trend (Indexed FYE 2008 = 100)
$5.4(21%)
$3.7(15%)
$13.2(52%)
$1.7(7%)
$1.4(5%)
PersonalServices
EmployeeBenefits
ContractualItems
Equipment andCapital Outlay
Debt Service
Total Dollars (in billions)
$25billion
0%
2%
4%
6%
8%
10%
12%Debt Service Share of Total Revenues
$0$2$4$6$8
$10$12
$16$14
+30.3%over 10 years
+2.7%annual rate
Debt Outstanding (in billions)
Real PropertyTaxesSales and UseTaxesCharges for Services
Other Local Taxes and Revenues
State Aid
Federal Aid
17Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Revenues by Source
Expenditures by Object
Debt Trends
Source: OSC. Notes: Includes New York State cities except New York City. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues shown above also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief payments (STAR payments).
Financial Data for Cities (61 Total) Fiscal Year Ending in 2018
Total debt outstanding amounted to
$3.5billion
Real property taxesaccounted for
25.9%of total revenues
Employee benefits grewat an annual rate of
4.4%over 10 years
Total revenues grew atan annual rate of
1.8%over 10 years
$1.3(26%)
$0.9(19%)
$1.0(20%)
$0.6(12%)
$0.9(18%) $0.3
(5%)
Total Dollars (in billions)
$4.9billion
80
100
120
140Trend (Indexed FYE 2008 = 100)
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$1.8(35%) $1.3
(25%)
$1.0(20%)$0.6
(12%)
$0.4(8%)
PersonalServices
EmployeeBenefits
ContractualItems
Equipment andCapital Outlay
Debt Service
Total Dollars (in billions)
$5.2billion
0%
2%
4%
6%
8%
10%
12%Debt Service Share of Total Revenues
$0
$1
$2
$3
$4
$5Debt Outstanding (in billions)
+4.3%over 10 years +0.4%
annual rate
Real PropertyTaxesSales and UseTaxesCharges for Services
Other Local Taxes and Revenues
State Aid
Federal Aid
18 2019 Annual Report Office of the New York State Comptroller
Revenues by Source
Expenditures by Object
Debt Trends
Financial Data for Towns (933 Total) Fiscal Year Ending in 2018
Source: OSC. Notes: Includes New York State towns. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues shown above also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief payments (STAR payments).
Total debt outstanding amounted to
$6.1billion
Real property taxesaccounted for
53.6%of total revenues
Employee benefits grewat an annual rate of
4.4%over 10 years
Total revenues grew atan annual rate of
1.9%over 10 years
$4.1(54%)
$0.7(10%)
$1.1(14%)
$1.0(13%)
$0.6(7%)
$0.2(3%)
Total Dollars (in billions)
$7.7billion
60
80
100
120
140
160
180
200Trend (Indexed FYE 2008 = 100)
Federal aid increased in response to recession
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$2.2(27%)
$1.4(17%)
$2.6(32%)
$1.2(14%)
$0.9(10%)
PersonalServices
EmployeeBenefits
ContractualItems
Equipment andCapital Outlay
Debt Service
Total Dollars (in billions)
$8.2billion
0%
2%
4%
6%
8%
10%
12%Debt Service Share of Total Revenues
$0$1$2$3$4$5$6$7
Debt Outstanding (in billions)
+22.1%over 10 years
+2.0%annual rate
Real PropertyTaxesSales and UseTaxesCharges for Services
Other Local Taxes and Revenues
State Aid
Federal Aid
19Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Revenues by Source
Expenditures by Object
Debt Trends
Fiscal Year Ending in 2018
Source: OSC. Notes: Includes New York State villages. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues shown above also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief payments (STAR payments).
Financial Data for Villages (535 Total)
Total debt outstanding amounted to
$2.4billion
Real property taxesaccounted for
48.5%of total revenues
Employee benefits grewat an annual rate of
4.2%over 10 years
Total revenues grew atan annual rate of
1.6%over 10 years
$1.4(49%)
$0.2(6%)
$0.8(28%)
$0.3(10%)
$0.2(6%)
$0.1(2%)
Real PropertyTaxesSales and UseTaxesCharges for Services
Other Local Taxes and Revenues
State Aid
Federal Aid
Total Dollars (in billions)
$2.9billion
60
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
Federal aid increased in response to recession
60
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$0.9(29%)
$0.5(18%)
$0.9(29%)
$0.5(16%)
$0.2(8%)
PersonalServices
EmployeeBenefits
ContractualItems
Equipment andCapital Outlay
Debt Service
Total Dollars (in billions)
$3.1billion
0%
2%
4%
6%
8%
10%
12%Debt Service Share of Total Revenues
$0.0
$0.5
$1.0
$1.5
$2.0
$3.0
$2.5
+25.3%over 10 years +2.3%
annual rate
Debt Outstanding (in billions)
20 2019 Annual Report Office of the New York State Comptroller
Revenues by Source
Expenditures by Object
Debt Trends
Financial Data for School Districts (691 Total) Fiscal Year Ending in 2018
Source: OSC. Notes: Includes school districts outside of New York City. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues shown above also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief payments (STAR payments). Shares that are less than 1 percent are not shown in the charts above.
Total debt outstanding amounted to
$17.1billion
Real property taxesaccounted for
53.7%of total revenues
Employee benefits grewat an annual rate of
3.7%over 10 years
Total revenues grew atan annual rate of
2.2%over 10 years
$22.4(54%)
$1.3(3%)
$15.7(38%)
$1.6(4%)
Total Dollars (in billions)
$42billion
6080
100120140160180200220Trend (Indexed FYE 2008 = 100)
Federal aid increased in response to recession
60
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$19.5(45%)
$9.0(21%)
$9.1(21%)
$2.9(7%)
$2.5(6%)
PersonalServices
EmployeeBenefits
ContractualItems
Equipment andCapital Outlay
Debt Service
Total Dollars (in billions)
$43billion
0%
2%
4%
6%
8%
10%
12%Debt Service Share of Total Revenues
$0
$5
$10
$15
$20
$25
-5.8%over 10 years
-0.6%annual rate
Debt Outstanding (in billions)
Real PropertyTaxesSales and UseTaxesCharges for Services
Other Local Taxes and Revenues
State Aid
Federal Aid
21Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Revenues by Source
Expenditures by Object
Debt Trends
Fiscal Year Ending in 2018
Source: OSC. Notes: Includes New York State fire districts. The annual growth rate for 2008 to 2018 is the compound annual growth rate. Real property tax revenues shown above also include other real property tax items such as payments in lieu of taxes (PILOTs) and school tax relief payments (STAR payments). Shares that are less than 1 percent are not shown in the charts above.
Financial Data for Fire Districts (896 Total)
Total debt outstanding amounted to
$491million
Real property taxesaccounted for
93.3%of total revenues
Employee benefits grewat an annual rate of
4.6%over 10 years
Total revenues grew atan annual rate of
2.7%over 10 years
$785(93%)
$49(6%)
Real PropertyTaxes
Other Local Taxesand Revenues
Total Dollars (in millions)
$841million
60
80
100
120
140Trend (Indexed FYE 2008 = 100)
60
80
100
120
140
160Trend (Indexed FYE 2008 = 100)
$160(19%)
$173(20%)
$242(28%)
$225(26%)
$60(7%)
PersonalServices
EmployeeBenefits
ContractualItems
Equipment andCapital Outlay
Debt Service
Total Dollars (in millions)
$860million
0%
2%
4%
6%
8%
10%
12%Debt Service Share of Total Revenues
$0
$100
$200
$300
$500
$400
+43.5%over 10 years +3.7%
annual rate
Debt Outstanding (in millions)
22 2019 Annual Report Office of the New York State Comptroller
Legislation Affecting Local Governments
Recently Enacted Legislation
LocalAuthorityTransparencyReforms Suspension of Board Members (Chapter 181 of the Laws of 2019) TheStateAuthoritiesBudgetOffice(ABO)nowhastheabilitytosuspendoneormoremembersofalocalauthority’sboardofdirectors,ortheauthority’schiefexecutiveofficer,upto90daysforfailuretofilerequiredreports.Thesereportsinclude,amongotherthings:financialstatementinformation;debtschedules;andprojectsundertakeninthelastyear.20 LocalauthorityofficialshavethreeyearstofilethesereportswiththeABObeforeasuspensionisissued.Whoeverappointedthepartythatissubjecttoasuspension—typicallyalocalgovernmentofficialorlegislativebody—mayreinstatethissuspendedmemberonlybyprovidingareason,inwriting,thatexplainshowtheyreachedtheirdecision.
Industrial Development Agencies (IDA) Meeting Recordings (Chapter 185 of the Laws of 2019) EachIDAisnowrequiredtostream,totheextentpracticable,allopenmeetingsandpublichearingson their website in real time. IDAs must post the video recording on their website within five business daysofthemeetingorhearingandmaintainthisrecordingforatleastfiveyears.
Enacted Legislation Proposed by OSCComptroller DiNapoli regularly advances legislative proposals to increase local government transparency and accountability. In 2019, the following legislation was enacted:
• Grants OSC Authority to Audit Local Development Corporations and Certain Other Organizations (Chapter 710 of the Laws of 2019)
Local governments have utilized local development corporations (LDCs), as well as certain other organizations controlled by municipal corporations and other governmental entities, as a means to indirectly finance local government operations and projects.
Such organizations are established as legally separate from a local government entity, but as a practical matter, they often function as an instrument and under the control of the local government.
This legislation addresses this reality and expands the Comptroller’s audit authority to include direct audits of private organizations that are under the control of one or more local government entities. Such audits will provide greater assurance that these organizations are operating in the public interest.
23Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
PropertyTaxesPermanent Property Tax Levy Limit (Tax Cap) (Chapter 59 of the Laws of 2019) TheSFY2019-20EnactedBudgetmadethepropertytaxlevylimit(referredtoasthe“taxcap”)permanent for local governments and school districts.Previously,thetaxcaplegislationwastiedtotheextensionofrentcontrolinNewYorkCityandscheduledtosunsetafterJune15,2020.
Changes in Property Tax Administration (Chapter 59 of the Laws of 2019) TheSFY2019-20EnactedBudgetmadeseveralchangesthatimpactthewaylocalgovernmentsadministerpropertytaxes.Thesechangesinclude:
• Allowing members of an assessing unit’sboard of assessment review to be appointedbythecountyatlocaloption.Eachappointedmember would have to be a resident of thecountybutwouldnothavetobearesidentofthe assessing unit. The board of assessmentreviewhastheauthoritytoreceive,reviewandresolvepetitionsbypropertyownersforassessment review and correction of errors.
• AllowingtheNewYorkStateDepartmentof Taxation and Finance to furnish certainrequiredpropertytaxnoticestoassessors,currentlysentthroughpostalmail,byemailor through a website posting.
• Requiringelectricgeneratingfacilitiestofileannual reports with Taxation and Financeshowingtheirinventory,revenuesandexpendituresfromthemostrecentfiscalyear.ThesereportscanassistTaxationandFinanceinaccuratelyvaluingtheseproperties.
OSC Legislative Proposals
Comptroller DiNapoli’s current legislative proposals affecting local governments include:
• Strengthening the ethics lawcovering local governmentsto prohibit municipal officers andemployees from acting in certainmatters in which they or theirrelatives have an interest andto require local codes of ethicsto include standards addressingnepotism, among other things.(A.7477/S.5548).
More information about the Comptroller’s current legislative proposals is available on the OSC website at: www.osc.state.ny.us/legislation/index.htm
24 2019 Annual Report Office of the New York State Comptroller
The Division issued 354 audits of local governments, school districts and local public authorities in 2019.21
49 financial condition audits found ineffective budgeting practices, excessive fund balance, and inadequate policies, records and reports.
7 accountability audits identified nearly
$625,000 of misappropriated local government assets.
591 property tax cap calculation reviews were conducted to help local governments comply with the tax cap law.
49
354
7$625,000
591
Services and Resources
Audits and Oversight
The Division of Local Government and School AccountabilityhelpstoadvancegovernmentreformandtransparencythroughouttheStatethroughitsauditandtechnicalassistancefunctions.Throughtheseefforts,theDivisionisabletoprovidelocalofficialsandtaxpayerswithanindependentanalysisoftheirlocalgovernments’financialcondition,aswellasrecommendingwaystoachievecostsavingsandefficiencies,strategiesforrevenue enhancements and methods to improve controls over operations and assets.
Our Audit Work
21 audits identified school districts that had retained excess or improper reserves.
36 identified school districts and local governments that had retained excess fund balance.
46 audits cited poor budgeting practices by school districts and local governments.
37 Information Technology (IT) security audits and 26 confidential IT letters revealed weaknesses potentially allowing for unauthorized access to confidential information, inappropriate use and/or exposure to ransomware threats.
74 accountability audits identified more than $13.3 million of misappropriated local government assets, recommended cost savings and revenue enhancement measures.
16 local governments and school districts exceeded their tax levy limits without a proper override.
25Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Financial Condition HighlightsA school district overfunded several reserves by a total of $30.5 million, causing its tax levies to be higher than necessary.
For three fiscal years, a school district improperly paid for cafeteria workers’ health insurance expenditures of $307,896 from the general fund, when they should have been accounted in and paid from the cafeteria fund. Had these expenditures been paid from the cafeteria fund, it would have had a deficit fund balance of $393,551.
A town board did not fully understand the effect of appropriating fund balance each year and, as a result, the town accumulated excessive balances of about $1 million in its general fund and deficit fund balances of more than $1.1 million in its highway funds. When combined, this created a deficit fund balance totaling $165,826.
Accountability Audit HighlightsA volunteer fire association did not adequately safeguard cash assets totaling $426,719. Several officials used funds for questionable payments and debit card transactions, and fundraising money went unaccounted for. Although a previous CPA audit raised concerns over disbursements, officials did not take action.
A city did not adequately oversee the billing of emergency medical services (EMS). Because officials did not routinely reconcile medical services provided to amounts billed, the city did not receive revenues totaling $425,906 for unbilled services and inaccurate billings.
A regional planning board did not monitor loans totaling $2.3 million. During the application process, officials did not ensure all required documentation was submitted by borrowers to determine whether loans should be approved. Also, after loan funds were disbursed, officials did not follow-up with borrowers to determine how loan funds were used or whether any jobs were created, and delinquent loans were not properly enforced.
$30.5 million in overfunded
reserves
$393,551 deficit
Improper Accounting
$165,826 deficit
Inadequate Budgeting
$426,719misappropriation
$425,906 in lost revenue
$2.3 millionin unmonitored loans
Statewide Audits and Regional ProjectsThe Division undertakes audits and projects involving several local governments in a region or statewide. In 2019, the Division audited 19 schools and examined whether they implemented district-wide school safety and emergency response plans. Other topics included determining whether seven local governments and school districts procured electricity and natural gas through aggregators in a cost-effective manner and whether town assessors properly administered real property tax exemptions.
19 incomplete
school safety plans
26 2019 Annual Report Office of the New York State Comptroller
Local Official Training
TheDivisionprovidesacomprehensivearrayoftrainingopportunities,includingaccountingschools,statewideandregionalconferences,leadershipinstitutes,workshopsandwebinarsthroughTheAcademyforNewYorkState’sLocalOfficials.These programs allow Division staff to develop and maintain strong relationships with local officials across the State and to share critical knowledge that helps officials fulfill their responsibilities.
Research on Local Governments
The Division produces a wide range of research productsthatinformOSC’slegislativepolicyagenda,help local officials understand the factors affecting the fiscal condition of their municipalities and school districts,andassistthepublicinaccessingandunderstanding local government data.22
In2019,theDivisionpublishedreportsonavarietyoftopics,including:
• Advanced technology in local governments• Constitutional tax limit• School safety• Local government debt trends and practices• The economy of the Long Island Region• Housing foreclosure update• Industrial development agencies• Sales tax collection updates• Fiscal Stress Monitoring System results.
Divisionpublicationsareavailableat: www.osc.state.ny.us/localgov/researchpubs/index.htm
27Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Nearly
8,000Attendees
Training Highlights and Resources
In 2019, the Division conducted 120 training sessions for local officials and staff at statewide, regional and online events, with total attendance of over 8,000. 120
TrainingSessions
The Academy for New York State’s Local Officials delivers a focused curriculum to help local officials carry out their duties. Local officials can search for training by both job role and topic. Previously recorded webinars, along with related presentation materials, can be accessed anytime. A calendar of upcoming events is also available: www.osc.state.ny.us/localgov/academy/index.htm.
Justice Court Fund
TheDivisioniscustodianoftheJusticeCourtFund(JCF),establishedtoaccountfortherevenuesfromfinesandpenaltiescollectedbytheState’stownandvillagejusticecourts,theDepartmentofMotorVehiclesAdministrativeAdjudicationBureaus,andotherparkingandtrafficfeesassessedbycertainlocalgovernments.23
InSFY2018-19,theJCFprocessedover24,000townandvillagejusticecourtmonthlyreportsanddistributedapproximately$605millioninfines,fees,surchargesandforfeiturestolocalgovernmentsandtheState,derivedfromtheadjudicationofmotorvehicle,criminal,civilandother cases at the local government level.
MoreinformationisavailableabouttheJusticeCourtFundonOSC’swebsite:https://www.osc.state.ny.us/localgov/finreporting/jcef/index.htm
28 2019 Annual Report Office of the New York State Comptroller
Local Government Data
Open Book New York
Fiscal Stress Monitoring System
Financial Data for Local Governments
Real Property Tax Rates and Levies
Local Government Entities
The Comptroller's online resource for data on local governments and school districts, State contracts, public authorities and State spending and payments.www.openbooknewyork.com/index.htm
Full results for all municipalities and school districts on all of the fiscal stress indicators, plus the ability to download all of the underlying data, along with reports and interactive tools to explore and understand the results.www.osc.state.ny.us/localgov/fiscalmonitoring/index.htm
Detailed financial datasets covering up to 23 years for local governments, school districts, fire districts, industrial development agencies and other local government entities. www.osc.state.ny.us/localgov/datanstat/findata/index_choice.htm
Local government real property tax levies, taxable full value and full value tax rates from 2013 through 2019. www.osc.state.ny.us/localgov/orptbook/index.htm
OSC maintains a list of active local governments. The list is available for downloading in both pdf and spreadsheet formats.www.osc.state.ny.us/localgov/datanstat/entitytable.htm
OSC makes extensive data available onlinesothatlocalofficials,researchersand others interested in local governments and public finance can conduct their own researchandanalysis.
29Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Sum
mar
y of
Fin
ance
s fo
r Maj
or C
lass
es o
f New
Yor
k St
ate
Loca
l Gov
ernm
ent, FiscalYearE
ndingin2018
(ExcludingNew
YorkCity)
(All
dolla
r am
ount
s in
mill
ions
)C
ount
yC
ityTo
wn
Villa
geSc
hool
Dis
tric
tFi
re D
istr
ict
Tota
lPo
pulation-C
ensusEs
timates
11,143,461
2,196,825
8,911,247
1,88
0,719
N/A
N/A
FullVa
lueofRealP
roperty
$1,215,030.6
$126,040.4
$1,090,400.3
$263,361.3
$1,230,593.8
N/A
Deb
t Iss
ued:
Bonds
$1,172.8
$507
.5$1,006
.5$2
04.6
$2,292.0
$78.
9$5
,262
.3O
ther
Deb
t$1,868.6
$427
.7$3
71.7
$221
.9$2,812.4
$34.
2$5
,736
.5O
utst
andi
ng D
ebt:
Bonds(G
ross)
$11,519.4
$3,112.6
$5,346.0
$1,951.2
$13,491.3
$434
.1$3
5,85
4.5
Oth
er D
ebt
$1,862.6
$780
.2$7
81.0
$459
.1$3,629.8
$57.
2$7
,569
.9
Tota
l Out
stan
ding
Deb
t$1
3,38
2.0
$3,8
92.9
$6,1
27.0
$2,4
10.3
$17,1
21.1
$491
.2$4
3,42
4.4
Rev
enue
s:RealP
ropertyTaxes&
OtherRealP
ropertyTaxItems
$5,716.9
$1,259.0
$4,121.4
$1,392.0
$22,401.0
$784
.7$3
5,67
5.1
Sal
es a
nd U
se T
axes
$8,355.1
$918
.0$7
36.8
$171
.0$2
90.7
N/A
$10,
471.
5C
harg
es fo
r Ser
vice
s$2,382.4
$965
.6$1,070.5
$792
.4$3
66.1
$0.0
$5,5
77.1
OtherLocalTaxes&Revenues
$2,815.7
$595
.9$9
87.1
$281
.1$1,307.9
$48.
6$6
,036
.2
Tota
l Loc
al R
even
ues
$19,
270.
1$3
,738
.4$6
,915
.9$2
,636
.5$2
4,36
5.7
$833
.3$5
7,75
9.9
Sta
te A
id$3,070.3
$864
.6$5
76.3
$166
.0$15,734.8
$3.1
$20,
415.
2Fe
dera
l Aid
$2,378.0
$250
.9$1
92.4
$66.
6$1,624.0
$4.7
$4,5
16.6
Tota
l Sta
te a
nd F
eder
al R
even
ues
$5,4
48.3
$1,11
5.6
$768
.7$2
32.7
$17,
358.
9$7
.8$2
4,93
1.9
Tota
l Rev
enue
s $2
4,71
8.4
$4,8
54.0
$7,6
84.6
$2,8
69.2
$41,
724.
6$8
41.1
$82,
691.
8
Expe
nditu
res:
Pers
onal
Ser
vice
s$5,395.5
$1,797.8
$2,240.1
$903
.5$19,493.4
$159
.8$2
9,99
0.1
EmployeeBenefits
$3,715.3
$1,282.8
$1,370.2
$549
.0$9,025.9
$173
.3$1
6,11
6.5
Con
tract
ual I
tem
s$13,243.1
$1,042.9
$2,596
.9$8
91.1
$9,123.2
$242
.0$2
7,139
.3
Tota
l Cur
rent
Ope
ratio
ns$2
2,35
3.9
$4,1
23.5
$6,2
07.2
$2,3
43.6
$37,
642.
5$5
75.1
$73,
246.
0Eq
uipm
entandCapitalO
utlay
$1,683.3
$618
.9$1,172.8
$500
.2$2,865.1
$225
.4$7
,065
.7D
ebt S
ervi
ce
Prin
cipa
l$8
76.8
$305
.1$6
84.2
$187
.8$1,946.6
$45.
7$4
,046
.2In
tere
st$4
85.8
$109
.2$1
67.6
$54.
7$6
02.6
$14.
2$1
,434
.0
Tota
l Exp
endi
ture
s $2
5,39
9.8
$5,1
56.7
$8,2
31.8
$3,0
86.3
$43,
056.
8$8
60.5
$85,
791.
9
Sour
ces:OSC
andU.SCensusBureau,2018Po
pulationEs
timates.
Not
es:O
therre
alpropertytaxitemsincludepaym
entsinlieuoftaxes(P
ILOTs)a
ndschoo
ltaxre
lief(STA
R)subsidies.O
therlocaltaxesandre
venuesincludecharge
stoothergovernm
ents,
othern
on-propertytaxes,otherlocalrevenuesandtaxesonth
euseandsaleofproperty.
30 2019 Annual Report Office of the New York State Comptroller
1 ThisreportusesdatareportedbylocalgovernmentstotheOfficeoftheStateComptroller(OSC)intheDivisionofLocalGovernmentandSchoolAccountability.Thedataarefromlocalgovernmentfiscalyearsendingin2018(FYE2018),thelatestavailableforalllocalgovernments.Datafrompriorfiscalyearsisusedforcomparativepurposes.AsmallnumberoflocalgovernmentsdidnotfileFYE2018annualfinancialreportsintimeforinclusionforthisreport.Formosttrendanalysesinthisreport,FYE2017 data was interpolated for the nonfiling entities.
2 Formoreinformationabouttherealpropertytaxcap,seeOSC’sRealPropertyTaxCapandTaxCapCompliancewebsiteat:www.osc.state.ny.us/localgov/realprop/index.htm;andtheNewYorkStateDepartmentofTaxationandFinanceandNewYorkStateDepartmentofState,Publication1000,The Property Tax Cap: Guidelines for Implementation,October2011,at: www.tax.ny.gov/pdf/publications/orpts/capguidelines.pdf.
3 FormoreinformationontheCTL,seewww.osc.state.ny.us/localgov/finreporting/ctl.htm.
4 SeeOSC,Hitting the Limit: The Constitutional Tax Limit and its Implications for Local Governments,August2019,at:www.osc.state.ny.us/localgov/pubs/research/ctl-implications-for-local-governments.pdf.
5 SalesandusetaxcollectiondataarefromtheAS570reportsproducedbytheNewYorkStateDepartmentofTaxationandFinance.Thesefigureswillnotexactlymatchthesalestaxrevenuedatausedelsewhereinthe report since sales tax collections reported on the AS570 are different from sales tax revenue reported bylocalgovernments.Also,seeOSC,Growth in Local Sales Tax Collections Remains Strong in 2019 Due to Robust Second Half,February2020,at:www.osc.state.ny.us/localgov/pubs/research/growth-in-local-sales-tax-collections-second-half-2019.pdf.
6 Expenditurestypicallyexceedrevenuesforlocalgovernmentsduetothewayinwhichfinancialreportsaccount for debt proceeds.
7 SeeOSC,AccountingandReportingManual,January2011,at:www.osc.state.ny.us/localgov/pubs/arm.pdf.
8 “Other”localgovernmentsincludescities,towns,villagesandfiredistricts.
9 SeeOSC,Local Government Debt Trends and Practices in New York State,November2019,atwww.osc.state.ny.us/localgov/pubs/research/local-government-debt-trends-practices-nys.pdf.
10Short-termdebtinthisreportreferstorevenueanticipationnotes,taxanticipationnotes,budgetnotesanddeficiencynotes.
11Localgovernmentswithoutstandingdeficit-financingbondsin2018includedtheCountyofRockland,CityofLockport,CityofLongBeach,CityofNewburgh,CityofOlean,CityofYonkers,TownofEastHamptonand Village of Suffern.
12 Chapter 531 of the Laws of 2019.
13OSC,FiscalStressMonitoringSystem:LocalGovernmentandSchoolDistrictsfiscalyearsendingin2017and2018,availableat:www.osc.state.ny.us/localgov/fiscalmonitoring/lists.htm.
31Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Notes
14 OSCmadechangestoenhanceFSMSfortheFYE2017scores,sothosescoresarenotcomparabletothescoresforprioryears.Formoreinformationaboutthespecificchanges,visit:www.osc.state.ny.us/localgov/fiscalmonitoring/help.htm.
15 NewYorkStateDepartmentofFinancialServices,“DFSAnnounces2020PremiumRates:LowersOverallRequestedRatesforIndividualsandSmallBusinessestoProtectConsumersandFuelaCompetitiveHealthInsuranceMarketplace,”PressRelease,August9,2019,at: www.dfs.ny.gov/reports_and_publications/press_releases/pr1908091.
16OSC,“StatePensionEmployerContributionRatesAnnouncedfor2020-21,AssumedRateofReturnLowered,”PressRelease,August29,2019,at:www.osc.state.ny.us/press/releases/aug19/082919.htm.
17 TheSFY2019-20EnactedStateBudgetnowrequiresOSCtowithholdcertaincountysalestaxrevenuesandmakepaymentstotheimpactedtownsandvillagesintheamountsthattheyhadpreviouslyreceivedthroughAIMinSFY2018-19as“AIM-Related”payments.FormoreinformationonAIMandAIM-Relatedpayments,seeOSC’sAid and Incentives for Municipalities (AIM) and AIM-Related Paymentsat:www.osc.state.ny.us/localgov/datanstat/stateaid/index.htm; and OSC,Report on State Fiscal Year 2019-20 Enacted Budget,April2019,at: www.osc.state.ny.us/reports/budget/2019/enacted-budget-report-2019-20.pdf.
18SeeOSC,Smart Solutions Across the State: Advanced Technology in Local Governments,September2019,at:www.osc.state.ny.us/localgov/pubs/research/smart-solutions-across-the-state.pdf
19SeeOSC,Shared Services Among New York’s Local Governments: Best Practices and Tips for Success,November2009,at:www.osc.state.ny.us/localgov/pubs/research/sharedservices.pdf OSC,Local Government Managing Guide: Shared Services in Local Government,December2009,at: www.osc.state.ny.us/localgov/pubs/lgmg/sharedservices.pdfOSC,A“How to” Guide to Shared Services and Cooperation,October17,2018,presentationaccessibleat:www.osc.state.ny.us/localgov/academy/pdf/shared-services-101718.pdf and webinar available toviewondemandbyaccessingthe“PreviousWebinars”pageaccessibleat: wwe1.osc.state.ny.us/localgov/academy/webinars/index.cfm.
20Foralistofrequiredstatutoryreports,seePublicAuthoritiesLawSection2800(2).
21AllnumbersasofDecember31,2019.ToaccessOSC’slocalgovernmentaudits,see:www.osc.state.ny.us/localgov/audits/index.htm.
22 ForOSC’slocalgovernmentresearchreports,see:www.osc.state.ny.us/localgov/pubs/listresearch2.htm.
23ThisincludestheNassauCountyandSuffolkCountyTrafficandParkingViolationsAgencies,theBuffaloandRochesterTrafficViolationsAgencies,andparkingsurchargescollectedbyNewYorkCity.
32 2019 Annual Report Office of the New York State Comptroller
Notes
33Industrial Development AgenciesOffice of the New York State Comptroller 2019 Annual Report
Division of Local Government and School Accountability110 State Street, 12th floor, Albany, NY 12236 Tel: 518.474.4037 • Fax: 518.486.6479 Email: [email protected]
www.osc.state.ny.us/localgov
Technical Assistance is available at any of our Regional Offices
BINGHAMTON REGIONAL OFFICE Tel 607.721.8306 • Fax 607.721.8313 • Email [email protected] Counties: Broome, Chenango, Cortland, Delaware, Otsego, Schoharie, Sullivan, Tioga, Tompkins
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STATEWIDE AUDIT Tel 315.793.2484
New York State Comptrol ler
THOMAS P. DiNAPOLI
COMPTROLLEROffice of the NEW YORK STATE
Executive • 518.474.4037Elliott Auerbach, Deputy Comptroller Tracey Hitchen Boyd, Assistant Comptroller Randy Partridge, Assistant Comptroller
Audits, Local Government Services and Professional Standards • 518.474.5404 (Audits, Technical Assistance, Accounting and Audit Standards)
Local Government and School Accountability Help Line • 866.321.8503 or 518.408.4934 (Electronic Filing, Financial Reporting, Justice Courts, Training)
Division of Legal Services Municipal Law Section • 518.474.5586
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