The Milan Town Board adopted their 2021 budget on Nov. 16 staying under the tax cap and increasing the tax rate by about two cents per thousand dollars of valuation, a 0.9% increase.
A property assessed at $300,000 in Milan will pay $725.49 in town property taxes in 2021, increasing $6.48 from 2020.
Town Supervisor Al Lo Brutto said the property tax levy was increased by $77,531 and spending for next year was reduced by $131,873, with most of the reduction coming in the highway department budget.
The town will use $439,356 of fund balance, the “rainy day fund,” for the 2021 budget in part to offset projected revenue losses due to the COVID-19 pandemic.
An additional $175,000 of fund balance will be used this year, partly due to a reduction in fines levied by the town court this past spring and summer and $40,000 in highway funds due to lower interest rates and a 20% reduction in reimbursements from the Consolidated Local Street and Highway Improvement Program (CHIPS).
The town board held a public hearing for the 2021 preliminary budget on Nov. 5, where there was no opposition voiced by any residents on the budget plan, according to Town Board Member Debra Blalock.
The budget also includes a 20 cents per hour pay raise for all town employees and small increases for the elected officials. The four town board members will receive $100 more at $5,100, the town supervisor will earn $200 more at $21,636, the two town justices will move from $19,335 to $19,535 and the highway superintendent will make $1,000 more at $65,700.