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North Hempstead board adopts preliminary 2026 budgets after heated debate over large fund balance
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Summary
After public comment and an extended exchange over a roughly $38 million fund balance and a last‑minute tax‑cut request, the Town of North Hempstead adopted the town and special‑district budgets for fiscal year 2026, including Supervisor‑filed amendments and transfers for community events.
The Town of North Hempstead Town Board voted Oct. 28 to adopt preliminary 2026 budgets for the town and its special improvement districts after public comment and an extended debate about the town’s large fund balance.
Supervisor DeSena opened the special meeting and said her office had submitted amendments to the preliminary budget that the board would consider before the vote. Resident Pete Gaffney urged the board to spend surplus funds on the North Hempstead Town Beach Park and questioned a 20‑year golf course contract with Brook Holdings, asking whether the contractor’s insurance and indemnity cover alcohol‑related injuries: "Is there an indemnity clause, related to alcohol consumption?" Gaffney said, and asked why a reported $4,000,000 surplus was not being directed toward local projects.
Budget analyst Stephen Pollock, speaking for the supervisor’s office, answered several public questions about line items and fund balances. Pollock said recycling revenue account 2651 "the 2026 preliminary amount is the same as the prior year," explained that emergency/disaster accounts are used only for declared NYS or FEMA emergencies and therefore are not typically budgeted, and said the apparent jump in the "unallocated" line was caused by moving a property‑tax discount expense into that account.
Much of the meeting focused on the town’s reported fund balance. Council members cited figures presented at a prior work session — roughly $38 million in total fund balances for 2024 and a projected use of about $4 million in 2025 — and argued the town was holding substantially more than its own policy minimum (10% for the general fund). One council member urged using reserves to grant a tax cut, asking, "Why not take the time and make sure that we are giving the taxpayer back their money?" Staff and other board members pushed back, noting legal and policy constraints and that staff projections incorporate possible one‑time settlements or payouts that affect the balance.
Before the board voted, the supervisor's office also moved to include several routine amendments — including a $25,000 transfer into Community Services' events line, funded by not filling a vacant bus‑driver position — which the board approved to be included in the final budget vote.
Votes at a glance: the board adopted the assessment rolls for the Belgrave, Great Neck and Port Washington Water Pollution Control Districts and the special‑district budgets; it then adopted the town general fund and town outside‑village fund budgets as amended. Roll call votes recorded ayes from the supervisor and the present council members on each resolution.
Town staff thanked the budget team for weeks of work; several council members urged more timely submission of alternative proposals in future budget cycles. The board adjourned after completing the votes.
