Public Hearing Date Announced For Town of Homer to Override Tax Levy Limit – Supervisor Park Says Town Will Lose Nearly $160K From New Sales Tax Agreement With County in 2026

The Town of Homer, along with numerous towns and villages within Cortland County, are now working diligently on their budgets for 2026 after Cortland County approved a new sales tax agreement during their Legislative meeting in August. For 2026, Town Supervisor Mike Park says the Town of Homer is expected to see a loss in sales tax revenue distribution of $157,210.69.

With the lost revenue, Park says there is no way the town can remain under the state limited property tax cap of 2% when making up for the lost revenue and increasing costs for the town.

Wednesday’s Town Board meeting only approved setting the public hearing tax on proposed local law number 2 of 2025 for the Town of Homer to override the tax levy limit. The public hearing will take place on Wednesday, October 8th at 6:30pm. 

“This year alone, I gotta raise the taxes to overcome sales tax by a third, which is going to be about .36 to .40 cents [per] $1,000.” Park said to the Town Board. “Doesn’t sound huge, but [the town] has a low tax rate. So it’s going to be a big jump in our tax rate just to offset sales tax.”

According to the Town of Homer, for 2027, the town will see a loss of sales tax revenues in the amount of $69,644.95. In 2028, the town will lose $61,483.40 and in 2029, $88,905.25 for a total of $377,244.26 in the next four years.

A final vote to allow for the tax cap override could take place during their board meeting following the public hearing on October 8th. Park additionally added the difference in sales tax revenue isn’t the only challenge the town will face when budgeting for 2026, adding that health insurance for the town is expected to increase 18% and property insurance increasing by 20%.