Beacon Unveils $37.5M Budget
Update: 2025-10-10
Description
Council also approves police contract
Beacon Mayor Lee Kyriacou on Monday (Oct. 6) introduced a $37.5 million budget proposal for 2026 while the City Council approved a three-year contract with police officers and a request to have the city assume ownership of the University Settlement property.
The budget includes $27.8 million in general fund spending, a 5.9 percent increase, which covers the day-to-day operations of Beacon's government. Expenditures for the sewer fund ($5.4 million) and the water fund ($4.3 million) are virtually flat.
The tax rate on residential properties would decrease by 3.7 percent, to $5.49 per $1,000 of assessed value - the lowest rate in 16 years. The proposal increases the commercial tax rate by 2.7 percent, to $8.71 per $1,000 of assessed value. Despite the increase, the commercial rate would still be significantly lower than 10 years ago, when it was $13.23.
As in recent years, Beacon assessments have increased (to $1.8 billion for residential properties and $446 million for commercial), so individual property owners' bills could go up. For a $532,500 house, the city estimates that its tax bill will increase by about $74, or 2.6 percent. A $500,000 commercial property is expected to see a $151, or 2.7 percent, jump.
The budget proposes to increase the property tax levy by $633,187, which is $100,716 below the cap allowed by New York State. Tax increases were mitigated by the addition to the tax rolls of $225 million in new construction or improvements since 2021, including $47 million last year, Kyriacou said.
City Administrator Chris White noted that new development helped the city pay for improvements this year at South Avenue Park and the municipal skateboard park. More work is planned next year at Memorial Park. "I know that people don't like all the development," he said, "but we're trying to tie a lot of this growth to reinvestment in the community."
The city anticipates the largest spending increases in 2026 to be health and dental insurance ($484,000), police salaries ($176,000), firefighter salaries ($156,000), retirement contributions ($278,000) and property and casualty insurance ($47,000).
Revenue from sales taxes is projected to increase from $6.1 million to $6.5 million - the result of a tax-sharing agreement Kyriacou negotiated with Dutchess County in 2022. The budget also anticipates $200,000 in hotel taxes, including $140,000 when the Mirbeau Inn & Spa opens next year.
For the first time, Beacon's proposed budget includes the appointment of a deputy city administrator. Ben Swanson, who has been Kyriacou's assistant since 2021, will transition into the deputy role.
Council members and Beacon residents have asked the city to hire a director of housing solutions, a position created in recent years in Kingston and Hudson. That conversation will continue during the council's Oct. 14 workshop, but White said that Swanson, who has a degree from the New York University School of Law, could take on some of those duties.
Police contract
The council unanimously approved a three-year agreement, running from Jan. 1, 2026, through 2028, with the union that represents Beacon police officers.
The contract gives officers 4.5 percent salary increases each year of the agreement. An additional premium encourages officers to work toward higher-ranking promotions, while a stipend rewards those who serve in field training roles.
In September 2024 Beacon police received a 5 percent raise, a move made to bring the department's salaries more in line with neighboring jurisdictions. The new contract addresses inflation and "puts us back in a competitive position to retain the staff that we have, to try to attract new transfers and other recruits, to fill the three open positions that we currently have," White said.
Fishkill Avenue
Temporary crosswalk striping was applied on Fishkill Avenue at its intersections with Wilkes Street and Blackburn Avenue on Tuesday (Oct. 7).
Several residents asked the counci...
Beacon Mayor Lee Kyriacou on Monday (Oct. 6) introduced a $37.5 million budget proposal for 2026 while the City Council approved a three-year contract with police officers and a request to have the city assume ownership of the University Settlement property.
The budget includes $27.8 million in general fund spending, a 5.9 percent increase, which covers the day-to-day operations of Beacon's government. Expenditures for the sewer fund ($5.4 million) and the water fund ($4.3 million) are virtually flat.
The tax rate on residential properties would decrease by 3.7 percent, to $5.49 per $1,000 of assessed value - the lowest rate in 16 years. The proposal increases the commercial tax rate by 2.7 percent, to $8.71 per $1,000 of assessed value. Despite the increase, the commercial rate would still be significantly lower than 10 years ago, when it was $13.23.
As in recent years, Beacon assessments have increased (to $1.8 billion for residential properties and $446 million for commercial), so individual property owners' bills could go up. For a $532,500 house, the city estimates that its tax bill will increase by about $74, or 2.6 percent. A $500,000 commercial property is expected to see a $151, or 2.7 percent, jump.
The budget proposes to increase the property tax levy by $633,187, which is $100,716 below the cap allowed by New York State. Tax increases were mitigated by the addition to the tax rolls of $225 million in new construction or improvements since 2021, including $47 million last year, Kyriacou said.
City Administrator Chris White noted that new development helped the city pay for improvements this year at South Avenue Park and the municipal skateboard park. More work is planned next year at Memorial Park. "I know that people don't like all the development," he said, "but we're trying to tie a lot of this growth to reinvestment in the community."
The city anticipates the largest spending increases in 2026 to be health and dental insurance ($484,000), police salaries ($176,000), firefighter salaries ($156,000), retirement contributions ($278,000) and property and casualty insurance ($47,000).
Revenue from sales taxes is projected to increase from $6.1 million to $6.5 million - the result of a tax-sharing agreement Kyriacou negotiated with Dutchess County in 2022. The budget also anticipates $200,000 in hotel taxes, including $140,000 when the Mirbeau Inn & Spa opens next year.
For the first time, Beacon's proposed budget includes the appointment of a deputy city administrator. Ben Swanson, who has been Kyriacou's assistant since 2021, will transition into the deputy role.
Council members and Beacon residents have asked the city to hire a director of housing solutions, a position created in recent years in Kingston and Hudson. That conversation will continue during the council's Oct. 14 workshop, but White said that Swanson, who has a degree from the New York University School of Law, could take on some of those duties.
Police contract
The council unanimously approved a three-year agreement, running from Jan. 1, 2026, through 2028, with the union that represents Beacon police officers.
The contract gives officers 4.5 percent salary increases each year of the agreement. An additional premium encourages officers to work toward higher-ranking promotions, while a stipend rewards those who serve in field training roles.
In September 2024 Beacon police received a 5 percent raise, a move made to bring the department's salaries more in line with neighboring jurisdictions. The new contract addresses inflation and "puts us back in a competitive position to retain the staff that we have, to try to attract new transfers and other recruits, to fill the three open positions that we currently have," White said.
Fishkill Avenue
Temporary crosswalk striping was applied on Fishkill Avenue at its intersections with Wilkes Street and Blackburn Avenue on Tuesday (Oct. 7).
Several residents asked the counci...
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