Holley approves village budget with 1.8% tax increase

HOLLEY – The Village Board on Monday approved a $2,116,716 village budget that will increase taxes by 1.8 percent.

The budget increases the tax rate by 2.0 percent from $16.92 to $17.26 per $1,000 of assessed property. The tax levy, what the village collects in property taxes, will go from $1,004,300 in 2022-23 to $1,022,300 in 2023-24.

Mayor Mark Bower said the Village Board imposed a spending freeze on Feb. 1 which allowed Holley to have more money from the current budget to carry over into the next fiscal year to help prevent a bigger tax increase. The village also is able to tap into some of its federal American Rescue Plan Act funds to help with some of the expenses.

Bower said all village employees will get 2 percent raises in the new budget. The village, however, will need to look at updating salaries to stay competitive with other municipalities, especially for its electric workers, Bower said.

The budget for 2023-24 includes the following departments or categories with 2022-23 in parentheses: Department of Public Works, $429,573 ($367,492); Police, $328,980 ($324,000); Office, $302,202 ($300,049); Employee Benefits, $173,562 ($167,179); Debt Payments, $154,000 ($139,137); Water Fund, $515,720 ($493,636); and Sewer Fund, $212,679 ($172,248).

The Holley village budget no longer includes the fire department. That is now managed by commissioners in the Murray Joint Fire District. The tax rate for that district is $1.82 per $1,000 and isn’t in the village taxes.

The village’s new fiscal year starts on June 1.