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Trustees Face Public Backlash After Tax Rate Spike and Questions About Budget Process
Summary
Residents pressed the Village of Montgomery trustees to explain a tax-bill increase far larger than the board’s earlier vote, and urged use of fund balance and clearer monthly financial reports. Trustees and the mayor disputed who could have acted, and several speakers demanded procedural fixes.
Residents confronted the Village of Montgomery trustees on June 2 over an unexpectedly large increase on recent tax bills, saying the change dramatically exceeded the percentage the board had previously approved.
The public’s questions centered on why the tax rate shown on mailed bills rose to figures residents cited as 17.6% (and in some discussion cited as up to 23% per $1,000 of assessed value) after the board had earlier voted on a much smaller levy adjustment. Several residents said they received large, unaffordable bills and urged trustees to use the village’s fund balance to reduce the immediate burden.
Why this matters: Multiple speakers said the increase damaged taxpayer trust and highlighted gaps in the village’s financial reporting. Several speakers asked for monthly financial reports to be produced regularly so the board and the public can monitor revenues and expenses in real time.
What trustees and the mayor said: Mayor Chrostowski and other board members said the change in taxable base and clerical adjustments at the county level contributed to the per-thousand charge changes. The mayor and trustees also disputed whether communication to the board had failed; some board members said they had not been consulted about the specific approach later used to set the final tax rate.
Key requests from the public: Speakers asked the board to (1) publish a clear accounting of the town’s fund balances and cash-on-hand, (2) explain whether and how the board could apply a portion of the fund balance to offset the increase, and (3) produce monthly financial reports going forward. One resident said FOILs revealed multiple village accounts with balances ranging from $20,000 to more than $2 million (as of end-May statements) and urged better oversight of bond carryovers and unused balances.
Board options and next steps: Trustees discussed that the formal mechanism to change levy or amend a budget rests with the board; several residents and trustees urged amending the budget to lower the levy. The treasurer said he will provide clearer monthly reporting and recommended discussions in upcoming budget workshops to avoid a repeat of the current situation. No immediate rollback of assessed charges or tax bills was announced at the meeting.
What to expect: The board scheduled further finance workshops and a series of planning dates; residents said they will press for a public accounting at the next meeting and asked that the treasurer deliver a fund-balance update.
