The Nassau County, N.Y. Legislature approved a $2.95 billion 2016 budget Thursday that eliminated a previously planned 1.2% property tax increase, but could face rejection by the Long Island government's fiscal control board because of uncertain revenue assumptions.
The budget plan was approved in an 11-7 party-line vote by the GOP-controlled legislature and now must be signed by Republican Nassau County Executive Ed Mangano, who proposed the small tax hike.
Republican legislators also passed a package of amendments to offset $28 million in revenue that the county would have received from the tax jump and fee increases that were also slashed. The fiscal plan includes $20 million in anticipated new revenue for a planned temporary Nassau Regional Off-Track Betting casino with video lottery terminals that has not been finalized.
The Nassau Interim Finance Authority warned in an Oct. 16 letter that it would step in and impose a hiring freeze along with other cuts if changes were not made to the 2016 budget proposal saying it would contain "a $50 million dollar hole" with "risky propositions and "questionable projections."
NIFA took control of Nassau's finances in early 2011.
NIFA Chairman Jon Kaiman said the legislature's action Thursday does not confront around $81 million in "risky assumptions" contained in the $2.95 billion budget that Mangano proposed in September. He said NIFA is prepared to step in to impose cuts if the budget remains in its current form.
"There is no way we can accept the budget as it is today," said Kaiman, who was formerly supervisor for the Town of North Hempstead. "The legislature clearly showed a disconnect with the reality of what the county is facing."
Nassau County Legislative Presiding Officer Norma Gonsalves, R-East Meadow, said in a statement that amendments approved by the Republicans "are reasonable, achievable and will result in a balanced budget." Mangano's press office did not immediately respond for comment.
