Babylon Town proposes 9.9% tax levy increase for 2025

The Town of Babylon has proposed a 9.9% tax levy increase in its 2025 budget, citing higher costs for employees' salaries and health insurance premiums.

The town’s preliminary $175.2 million budget proposal boosts spending by 6.2% over the 2024 budget of $164.5 million. Under the  proposal, annual town taxes for the average assessed household would rise from $1,743 to $1,916, representing a $173 hike, officials said. 

If the budget is approved, this would be the second year in a row in which Babylon raises the tax levy by 9.9%.

Homeowners would see a spike in the town's general fund tax, with average bills rising from $709.98 to $825.99 — a $116.01 hike. A part-town fund tax would rise from $140.06 to $209.07, an average increase of $69.01, officials said. That fund covers the departments of public safety, building and planning and development. Taxes on two other funds — highway and lighting — would drop by $6 each, officials said.

Babylon Supervisor Rich Schaffer said leaders across Suffolk's eight towns shared their budget woes at a recent supervisor’s association meeting.

"We all found we are having the same problems," he said. "We’re facing the same rising costs between inflation, operating costs, health care and pension — all these things that are beyond our control."

Town Comptroller Victoria Marotta said the tentative budget is "fiscally responsible" and allows the town to maintain its services.

Marotta said the town is paying $2.2 million more for employee health insurance premiums, representing a 10% increase from 2024. Debt service from infrastructure projects will increase by $1.4 million in 2025, she said. Labor costs related to contractual salary increases will rise by $3.4 million.

The town plans to hire at least six new staff members in the planning and building department to handle a number of large-scale development projects, Schaffer said.

The proposal gives 2% raises to elected officials. Schaffer’s salary will rise to $119,497, while council members’ pay will be $70,852. The town’s tax receiver and clerk will each earn $109,666, according to the budget proposal. Schaffer said the pay raises were modeled after increases the town had approved for its union employees.

The town used $2.3 million in highway fund reserves to offset the proposed tax increase. Babylon has been dipping into its surpluses to lower tax hikes for the last few years: it applied $3.9 million of surplus this year, $4.5 million in 2023 and $3.3 million in 2022.

Marotta said the town has to be careful about using reserves so it can maintain its AAA bond rating. 

Town officials said for 60% of residents, the increase will amount to $144 for the year, or $12 a month.

"Obviously any increase is impactful," Schaffer said. "But $12 a month is the cost of canceling one of those streaming services that you forgot you were subscribed to."

Chris Black, leader of the Concerned Taxpayers of Wheatley Heights/Dix Hills, told Newsday he appreciated Schaffer breaking down the tax increase "to a more relatable monthly figure."

But, he cautioned, "comparing a necessary tax increase to a discretionary expense like a streaming service may not fully capture the financial realities many residents face."

Residents will be forced to make tougher choices in their budgets, Black said.

"While I recognize the importance of maintaining services, I think it's crucial to ensure we’re mindful of how even small increases can add up for families already feeling financial pressure," he said.

By Denise M. Bonilla

denise.bonilla@newsday.comdenisebonilla

Denise Bonilla has worked at Newsday since 2003 and covers the Town of Babylon, including the villages of Lindenhurst and Amityville.