I believe the article recently published by the Valley Independent Sentinel regarding Derby’s financial woes (Dziekan Sounds Alarm on Derby Finances 10/6/2017) is right on target, but as Chair of the Derby Board of Apportionment and Taxation (Tax Board), I would like to comment on and clarify a few things from the article.
Mr. Bernabe, the City’s financial advisor, says that we won’t be in hot water if the State is able to finalize a budget, and that budget doesn’t cut any of our funding.
While this is a true statement it means that we are at the mercy of the State and unable to take care of ourselves without their help. Sad but true.
Mr. McLiverty, our City Treasurer, indicates that our too low fund balance problem and our high taxes are a bipartisan problem caused by the Democrat majority on the Board of Aldermen and the Republican majority on the Tax Board. I highly disagree with this!
Derby’s Board of Aldermen is Derby’s legislative branch and this body is the only one that can pass laws and approve purchases. If the Board of Aldermen approves a land purchase, for example, then the Tax Board, by City Charter, must fund that purchase. The Tax Board’s job is to determine whether we must raise taxes, borrow from our fund balance, borrow from another entity, or declare the City bankrupt and therefore unable to complete the purchase.
At the beginning of each Tax Board meeting the City Treasurer gives the Tax Board a verbal report regarding the City’s financial health. At no time, since I’ve been Chair, has the Treasurer indicated that we are in enough trouble to warrant an override to the Board of Aldermen.
Finally, regarding our tax hike in 2016, we were faced with a property reevaluation that forced down our revenue to a great degree. We reached out to the Aldermen and to Mayor Dugatto asking if they could work with the City departments to find possible service cuts or closures to cover the loss of revenue without driving up taxes.
They were not able to provide us with any recommendations and, instead, the Mayor submitted an even higher budget for our consideration. Hoping for cuts, we definitely wouldn’t accept further increases.
I echo the sentiment that we need to desperately find new revenue streams for Derby, look closely at our City services to find some significant savings, and look to regionalize wherever possible.
Judy Szewczyk
The writer, a Republican, is chairwoman of the Derby Board of Apportionment and Taxation.
Views expressed in letters to the editor and press releases do not necessarily reflect the views of ValleyIndy.org. The Valley Indy has a 550-word limit on letters to the editor.
