POTSDAM — The Village Board has met with the Financial Restructuring Board for Local Governments, a New York state service for municipalities looking to reduce their spending.
“We’ve met with the Financial Restructuring Board one time,” said Gregory Thompson, the village administrator. “Our first meeting was very positive.”
This meeting, held at the beginning of August, was the first step in a comprehensive review to help the village improve its financial stability.
The Financial Restructuring Board will continue working, and Mr. Thompson expects to hear back from them about further meetings with the Village Board in the next month and a half.
The village first looked into receiving a comprehensive review last summer. The Financial Restructuring Board provides free, non binding advice to eligible municipalities. They can also provide up to $5 million in grants and loans, if a municipality agrees to follow its suggestions, according to its website.
To be eligible, a municipality must be approved by the Financial Restructuring Board, or have a full value property tax rate above the average of 75 percent of municipalities. The full value property tax rate is based on the rate of property taxes compared to the value of taxable property on the municipality. The higher it is, the higher the tax burden.
Any municipality with a full value property tax of over 7.2772 is automatically eligible for review from the Financial Restructuring Board. Potsdam’s full value property tax is listed as 14.8123.