1. Town of Tuxedo 2015 Budget

2. 2014 Recap Projected fund balance used for 2014 budget was $948K Revenues fell short of projections Expenses exceeded projections

3. For 2015 Actual trends were used to accurately forecast expenses and revenues Department Heads participated in the budget process and have ownership of the deliverables for 2015 New reporting tools will be utilized and outsourcing payroll will provide managers the necessary tools to manage their budgets

4. Impact of Planning Miss $1.7M swing between projected starting fund balance and actual fund balance Moody’s downgraded the town of Tuxedo twice in 2014 resulting in a higher cost of borrowing money to purchase Quarry Field

5. Capital Condition Infrastructure is suffering as all projects have been put on hold indefinitely Our highway equipment is aging. Used equipment that was purchased is causing maintenance costs to rise Our police fleet is aging. Cars have over 100K miles. Buildings are in need of repair

6. Impact of 2014 Audit The 2014 audit by the State Comptroller’s office directed the Town to move court revenue into the same fund as the court expenses. (The “A” fund) The Village tax rate will be reduced The Town tax rate will increase Town-$9 per $10,000 of market value increase Village-$6 per $10,000 of market value decrease

7. Tax Implication Tax Rate Percentage 20142015INC/- DEC Village only Tax14.5511.15-0.23 Townwide Including Village14.5511.15-0.23 Part Town Excluding Village17.4325.910.49 TAX INCREASE PART TOWN PER 10,000 MARKET VALUE9.00 TAX DECREASE ON VILLAGE ONLY TAX PER 10,000 MARKET VALUE-6.00

8. 2014 Success’s After starting out the year with a deficiency balance we will carry a positive fund balance into 2015. This is due to the $1.5M payment received as part of the host community agreement. Controls and security are being put in place to protect the town’s assets and limit risk. Policies and procedures are being introduced as our action plan for the State audit.

9. 2015 Highlights Total Levy increase of 1.03% Town increase Village decrease We are negotiating a one time payment of $750K from Related The Board will continue to work on ways to reduce expenses and increase revenues Residents will receive a rebate check from the State for the Town staying below the tax cap.

10. Looking Forward The Board needs to work with our neighboring communities to identify opportunities for sharing services. Town Supervisor has had conversations with the County regarding shared services. Board is currently working on securing grant monies for shared service opportunities..

11. Summary Page TOWN OF TUXEDO, NEW YORK PRELIMINARY BUDGET SUMMARY 2015 PRELIM- ACTUAL MODIFIED ACTUAL TENTATIVE INARY CHANGE %CHANGE FULL YR Y-T-D BUDGET ADOPTED FROM 20132014 2015 2014 Appropriations General Fund TownwideA 3,111,446 2,905,282 1,662,458 3,059,976 3,054,045 - 148,7635.12% General Fund-Town Outside VillageB 2,825,867 2,968,289 1,942,465 3,386,821 3,259,611 - 291,3229.81% Highway Fund - TownwideDA 1,017,674 1,247,568 927,349 1,461,273 1,220,223 - (27,345)-2.19% Highway Fund-Town Outside VillageDB 429,213 375,528 179,402 580,574 334,759 - (40,769)-10.86% Joint Fire DistrictSF 822,945 857,475 - -0.00% Tuxedo Library DistrictSL 479,034 487,666 501,931 - 14,2652.93% Tuxedo Refuse DistrictSR1 197,331 197,901 49,380 197,901 - -0.00% Tuxedo Refuse DistrictSR2 - 100,000 - - - - - Sewer DistrictSS 326,511 365,125 204,799 290,006 336,757 - (28,368)-7.77% Sterling Mine Estate DDSD 12,496 11,986 - 11,535 - 4513.76% Total Appropriations 9,222,517 9,516,820 6,310,994 10,433,227 9,774,237 - 358,3193.77% Revenues General Fund TownwideA 2,568,625 2,645,282 2,107,671 3,059,976 2,956,045 - 310,76311.75% General Fund-Town Outside VillageB 2,428,755 2,713,378 2,311,792 3,386,821 2,989,611 - 276,23310.18% Highway Fund - TownwideDA 1,020,162 985,625 935,638 1,461,273 1,035,223 - 49,5985.03% Highway Fund-Town Outside VillageDB 523,763 204,028 161,869 580,574 209,759 - 5,7312.81% Joint Fire DistrictSF 822,945 857,475 - 7,70034.53% Tuxedo Library DistrictSL 479,034 487,666 501,931 - 14,2652.93% Tuxedo Refuse DistrictSR1 196,091 198,901 197,907 197,901 - (1,000)-0.50% Tuxedo Refuse DistrictSR2 100,000 100,025 100,004 100,000 - - (100,025) (1) Sewer DistrictSS 322,471 338,625 336,329 290,006 336,757 - (1,868)-0.55% Sterling Mine Estate DDSD 6,846 12,036 11,936 11,535 - 5014.16% Total Revenues 8,468,692 8,543,041 7,508,287 10,433,227 9,096,237 - 561,8986.58%

12. Tax Rate Schedule 2015 Implied2014 EstimateLess Less FundAmt to beTaxableTax Rate % change Appropri.Estimated Balance &RaisedAssessed$$ per From Cur- 2015RevenuesAppr ReserBy TaxValueThousand rent Year Village Rate General Fund TownwideA 3,054,045 1,927,950 98,000 1,028,095 176,110,5755.837779449.3640-37.66% Highway-TownwideDA 1,220,223 50,000 185,000 985,223 176,110,5755.594344495.12779.10% 4,274,268 1,977,950 283,000 2,013,318 176,110,57511.4321239314.4917-21.11% Town Rate General Fund-Town Outside VillageB 3,259,611 482,500 270,000 2,507,111 102,809,43224.3860034817.306740.90% Highway Fund-Town Outside VillageDB 334,759 52,500 125,000 157,259 102,809,4321.529612041.51790.77% 3,594,370 535,000 395,000 2,664,370 102,809,43225.9156155218.824637.67% Special Districts: Joint Fire District (A)SF 857,475 30,000 - 827,475 110,084,8617.5167011384.362272.31% Tuxedo Library District (B)SL 501,931 - - 109,362,7104.5895991422.586377.46% Tuxedo Refuse District (Homes IWS)SR2 197,901 1,000 - 196,901 1,10001.12900.00% Tuxedo Refuse District 2 (Leaf P/U)SR1 - - - - -00.00000.00% Sewer DistrictSS 336,757 43,870 - 292,887 11,899,07524.6142642624.60990.02% Sterling Mine Estate DDSD 11,535 50 - 11,485 23499347.8261 1,905,599 74,920 - 1,830,679