Purpose of Budget Review
The purpose of our budget review was to determine whether the significant revenue and expenditure projections in the Village’s tentative budget for the 2016-17 fiscal year are reasonable.
The Village of Endicott, located in Broome County, issued debt totaling $2 million to liquidate the accumulated deficit in the Village’s general fund as of May 31, 2004. Local Finance Law requires all local governments that have been authorized to issue obligations to fund operating deficits to submit their tentative budgets for the next fiscal year to the State Comptroller for review while the deficit obligations are outstanding.
- Based on the results of our review, we found that the significant revenue and expenditure projections in the tentative budget for the general, electric and parking funds are reasonable.
- The water and sewer funds’ tentative budgets are not balanced and include a deficit of approximately $236,000 and $206,000, respectively. Village officials plan to raise water and sewer rates.
- The Village has adopted a local law to override the tax levy limit.
- Address the deficits in the water and sewer funds to avoid adopting unbalanced budgets that include appropriations without sufficient financing sources.