South Nyack Dissolution Impact Report Released

By: Jennifer Korn

On Tuesday, Nov. 24, CGR (Center for Governmental Research) presented its report on the potential impacts of a village dissolution at the South Nyack Board of Trustees meeting.

The report was prepared by Paul Bishop, Principal, and David Riley, Senior Associate of CGR.

The significant impacts of dissolution include the elimination of elected and administrative village positions, the South Nyack Grandview Police Department, the village Department of Public Works and Utilities (DPW), the South Nyack portion of the Village Justice Court and the village’s planning and zoning boards.

If the dissolution vote passes, South Nyack residents will be represented by Orangetown Town Supervisor Teresa Kenny and the Town Board. There would no longer be a South Nyack Mayor or Board of Trustees.

The South Nyack Police Department currently has six full-time officers and 10 part-time officers. If the village and police department are dissolved, CGR projected that the Town of Orangetown would add five full-time officers.

According to the report, the dissolution would only impact town and village taxes. 75 percent of South Nyack residents’ tax bill would not be affected. CGR estimated that if the dissolution vote passes, a South Nyack property owner with a median value home would save about $1,440 annually in property taxes. However, the actual savings could vary based on the use of additional state aid and the final dissolution plan.

To help property owners estimate their property tax savings, CGR included a personalized property tax calculator on the dissolution website.

Under State of Finance Law, Orangetown will also receive a Citizens Empowerment Tax Credit (CETC) if the village of South Nyack dissolves. The aid, which is capped at $1 million, will be received after dissolution and in subsequent years. The CGR report states that 70 percent of the aid must be used to reduce taxes. The credit is not included in CGR’s tax rate calculations.

With the elimination of DPW, South Nyack residents would have to pay directly for trash and recycling services, instead of having it included in their property tax bills. CGR determined that those services will cost residents about $30 per month.

Bishop and Riley also explained that South Nyack residents would have a less direct role in town government affairs if the village is dissolved. “In other words, a South Nyack voter would no longer be one of about 1,900 voters in a village, but one of about 38,000 in a town,” the report states.

While the report mainly focuses on the impacts of dissolution, it also highlights the services that will not be affected.

“Many services provided to the residents of South Nyack will remain unchanged regardless of the outcome of dissolution,” the report states. Services including the school district, library, EMS, postal delivery, and utilities will not be affected. The village’s debt will also not disappear if the village dissolves. “Under General Municipal Law, the debt of the Village would stay with those properties until it is retired,” the report states.

According to the report, all property owned by the village would transfer to the town. However, the village could choose to sell its assets to retire its outstanding debt. Franklin Street Park, Village Hall and the DPW building are all village-owned.

Bishop stressed that regardless of whether the village dissolves, village residents will always belong to Orangetown. “It is important to note that every village resident is a town resident,” said Bishop.

The full dissolution impact report is available at www.cgr.org/southnyack.

CGR will hold a follow-up meeting on Dec. 3 at 7:30 p.m. via zoom to discuss their report once again with the public.

“You can certainly come back and get some more questions answered,” said South Nyack Mayor Bonnie Christian.

Residents will vote whether to dissolve the village on Dec. 17.

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