FORESTVILLE, N.Y. (WIVB) – Forestville is still proposing a tax rate increase, but not by the 445-percent that residents had been dreading.
Members of the village board met Tuesday night to approve their new budget, which includes a bailout package of sorts from Chautauqua County. The southern tier community was facing a potential financial crisis that could have ushered in that mammoth tax hike. Instead the rate is now expected to double.
The village is in default on two loans totaling $400,000, one for building demolition and the other on a water line bond, and because the bank is calling in those debts, taxpayers have to come up with the cash this budget year. That led officials to propose the 445-percent tax increase.
But last week, Chautauqua County legislators approved a $150,000 assistance package for the village. But there are conditions that need to be met to prevent another financial crisis. The county wants a task force created, with members appointed by the county executive and legislative chair, to oversee the village and audit the village’s books.