Monday, May 12, 2025
Mayor Tim Sullivan discussed the Village of Malverne’s tentative budget for the 2025-26 year at a public hearing on April 7. For the last six years in which Sullivan has served as the village’s budget director taxes raised an average of 0.75% each year, but this budget season a 3.7% property tax rate increase will allow the village a budget of about $20 million.
Sullivan explained the increase is largely driven by increased health insurance costs, along with the new contract agreements with the department of public works and police unions. “I’m confident that we are watching your tax dollars appropriately and spending them wisely,” Sullivan said. “It’s one of the most important things we do as your board.”
1. The budget for 2025-26 will require 3.7% property tax rate increase
The total budget for the Village will be just about $20 million, which requires a 3.7% property tax rate increase. This equates to increased costs of $188 annually per household or $15 per month. Relative to recent property tax increases, this is a significantly higher increase, but the Mayor states that despite required costs the village remained below the state mandated tax cap.
These costs include rising health insurance premiums, along with the new contracts agreed upon with the DPW and police unions. The agreements include a 3% annual salary increase for employees, along with increased contributions to unemployment insurance and retirement. The board stressed that these increases align with other municipalities and are believed to be fair.
2. Improvements to the village and infrastructure upgrades
Malverne’s capital improvement plan continues to roll forward with upgrades including a new DPW facility and resurfacing roads and parking lots. Construction at Pine Stream Park was expected to be completed by early April, but due to weather delays, opening is predicted for June. The village is putting money and resources to refreshing parks around Malverne. Additional projects will be discussed as the village hears back on possible grants and funding from the government.
The village must make a principal payment for the new police headquarters. To pay for the new building, the village borrowed $5 million in short-term bond anticipation notes. Sullivan discussed plans to combine these notes into a bond next year with the hope that interest rates will decrease.
3. Village pursuing the sale of Carbone Park
The village is pursuing the sale of the children’s playground Carbone Park, with the intention of constructing a bigger, updated park across the street at the former police headquarters. There is currently a proposal for a 12-unit micro-multifamily development to be built next to the Park pending consideration by the zoning board.
The village will keep the parking lot and retain the larger property by moving the park. The proceeds from the sale of the park will help offset costs related to the new police headquarters. This sale will increase taxes paid towards the village, including those lost when the village purchased the new police building and lost the tax contributions from that property. As these plans develop the board will seek out community input.
