North Hempstead Town Board Special Meeting on 2026 Tentative Budget - October 16, 2025

The North Hempstead Town Board held a special work session on October 16, 2025, to discuss the tentative 2026 budget. The meeting, a tradition started about 10 years ago, allowed board members to ask questions about the budget that was distributed on October 6. Supervisor Jennifer DeSena and the board were present, with Steve Pollock providing the budget overview.

Tentative Budget Overview

• Steve Pollock, from the Supervisor's office, presented the 2026 tentative budget, which freezes taxes in the town's major funds (General Fund and Town-Outside-Village (TOV) Fund) after three consecutive years of reductions.
• General Fund expenses are increasing by $1.4 million (1.55%) from 2025, driven by health insurance (+$652,000), retirement (+$358,000), water costs (+$335,000), and tort litigation (+$318,000). Long-term debt decreased by $294,000, while short-term debt increased by $222,000 due to the Tully Park parking lot project.
• General Fund revenues (excluding taxes) are decreasing by $500,000, with increases in interest earnings (+$526,000), contractual revenue from Harbor Links Golf Group (+$200,000), and parks revenue (+$100,000), offset by decreases in transfer station revenue and franchise fees.
• TOV Fund expenses are increasing by $638,000 (1.42%), mainly from health insurance (+$95,000), sand and salt (+$50,000), and property/liability insurance (+$31,000). TOV revenues are up $316,000, mostly from parking enforcement, school bus camera violations, and CHIPS funding.
• Town-operated special districts: four of seven fire protection districts have no tax increase; Glenwood district sees a large increase due to LIPA assessment changes. Four of five garbage collection districts use fund balance to lower increases. Several districts (street lighting, Pawashin Public Parking, Sawath, Great Neck Water) have tax decreases; Manhasset Bay Park District has no tax change.

Budget Discussion and Line Item Questions

• Council members raised questions about specific line items. Key exchanges:
  • Community Services $25,000 increase: Commissioner requested $25,000 for special events line (4890), to be offset by cuts in other lines, including an unfilled position. No net increase to the overall budget.
  • Postage increase of $140,000: The 2025 budget reduced postage hoping to use more electronic communication, but that proved insufficient; the 2026 budget restores the line to allow ongoing mailings, including four town-wide newsletters per year.
  • Harbor Links water costs: Town contracts with Harbor Links Golf Group for a base fee of $850,000 plus $100,000 toward water expenses. Any water expense over $100,000 is the town's responsibility. The 2025 year-to-date water cost is $385,000 due to dry weather, netting $285,000 over the $100,000 credit. The town aims to implement a water reclamation project to reduce future costs.
  • Franchise fees decrease of $244,000: Due to declining cable subscriptions as residents switch to streaming services.
  • Internal audit line zeroed out: Consolidation into the Comptroller's professional services line; external audit is still completed annually.
  • Professional services for Human Resources increase of $71,000: Includes new ADP timekeeping system implementation and ongoing maintenance.
  • Water cost increases at parks (Manorhaven, North Hempstead Beach Park, Tully Park): Driven by rate increases from water districts, not town control, and addition of splash pads/pools.
  • Receiver of Taxes stationary/printing increase of $26,000: Due to more proactive outreach on tax exemptions and reminders.
  • Communications department contractual services increase of $75,000: For outside graphics and printing services to increase public outreach.
  • Town Board member requested budget for self-mailings: Currently no line item; Councilwoman Lou proposed an amendment to allocate funds for each council member's mailings.
  • Town Clerk overtime increase of $10,000: Due to new CBA allowing employees to choose overtime cash instead of comp time.
  • Parking enforcement revenue increase of $226,000: Based on trend of more violations being written, including at Port Washington Town Dock where overnight parking is being enforced.
  • School bus camera program: Projected revenue of $3.775 million for 2026, up from $3.362 million in 2025 (partial year). Revenue is net after 45% share to Bus Patrol. The town is conservative in issuing tickets, reviewing each violation before issuance.
  • Building department overtime reduction: Better management; overtime being reduced as daytime inspections increase.
  • Sidewalk district snow overtime: Costs are tracked and then reimbursed via back-charges from the highway department.

Bus Camera Enforcement Program

• Rich Delate from the Town Attorney's office clarified that the bus camera program operates strictly within participating school district boundaries. The town exercises prosecutorial discretion not to issue tickets for violations where a median separates opposite lanes on multi-lane roads, conservatively issuing tickets only for clear violations. The county (Nassau County TIFFA) adjudicates the tickets; adjudication resumed in September 2025.

Fund Balance and Financial Projections

• Steve Pollock provided fund balance projections:
  • General Fund 2025 ending balance: $34.22 million (after projected use of $4.1 million from a $8.2 million appropriation). Unaudited.
  • General Fund 2026 ending balance: Projected $24 million if the entire $10 million appropriation is used, though historically less is actually used.
  • TOV Fund 2025 ending balance: Approximately $16 million (after use of $1.296 million).
  • TOV Fund 2026 ending balance: Approximately $10.22 million if full $5.8 million appropriation is used.
• Councilman Triano requested a breakdown of how the $4 million operating surplus was achieved (savings from better management, not one specific item).
• Councilwoman Lou requested clarification on inter-fund transfer capital project interest ($1.786 million projected for 2026) and asked for a list of bonded projects that may be sitting idle while accruing interest.
• Councilman Walsh requested a hard copy of the 2024 CAFR.

Budget Amendment Process

• Supervisor DeSena stated that any budget amendments must be submitted in writing to the entire board and the town attorney’s office. Amendments need to specify the line items from which funds are moved. The law requires substantial changes to be posted at least 24 hours before the public hearing. The board agreed to provide clearer guidance on the amendment process.

Key Outcomes

• The tentative budget will be voted on by November 20, 2025.
• A public hearing on the budget is scheduled for October 28, 2025, at 7:00 PM.
• Board members may submit budget amendments before the hearing; Councilwoman Lou indicated she will propose an amendment for a town board mailing line item and to remove the $11,000 OEM line (Manhasset/Port Washington OEM).
• The meeting adjourned with a motion by Councilman Triano, seconded and passed (all present voting yes).