continued “Our revenues aren’t where they used to be and they are not going to be,” Koetzle said.
The majority of the town’s revenues come from property taxes at 51 percent, with the county assuring complete collections by providing the town with remittance for delinquencies.
The town’s second largest revenue source comes from sales tax, totaling 27.4 percent of revenue, according to the report. In fiscal 2008, sales tax revenue declined 7.4 percent, but increases over the past three years have returned revenue to near 2008 figures.
Property values have grown by 0.5 percent over the last five years. The town is in a “desirable housing sector” and its proximity to employment opportunities in Schenectady and Albany is a benefit, according to Moody’s.
Operating within the state mandated tax cap was the only challenge marked by Moody’s. The town is projected to have a general fund operating deficit of $181,000 next year.
The upgrade places Glenville’s bond rating equal to Niskayuna’s rating, which was downgraded from Aa2 to Aa3 in October. The reason given for the downgrade was a decline in operating fund reserves over the past three fiscal years with an additional decline in fiscal year 2011. Also, mortgage tax receipts coming in under budget and recent storm damage were a factor in that downgrade.
“It is very rare for an upgrade for a municipality in this environment,” Koetzle said.