The potential splitting of the Town of Monroe and the Village of Kiryas Joel could have a major financial impact on Monroe.
Avoiding cuts to employee benefits, the estimates aren't good, according to a new study of the town's expenses.
"Since the town or the department heads do not want to cut those expenses, and there's no savings at that time, they're going to lose about $1.9 million if nothing changes," said RBT Manager/Auditor Bill Cochran.
With the possibility of a nearly $2 million annual loss in tax revenue to the would-be Town of Palm Tree, Monroe is weighing its options. They do not want to cut employee benefits, but are looking at cuts elsewhere.
And to make up for part that loss, homeowners would have a higher bill. Accountants say for a home accessed at $280,000, taxpayers could see a yearly tax increase of up to $151 per year. The study estimates that without any financial adjustments, Monroe's fund balance will be wiped out within three years.
Residents vote on the potential split on Election Day.