East Hampton Town Supervisor Proposes $118.9 Million Tentative Budget for 2027 • East Hampton Town, NY
East Hampton Town Supervisor Kathee Burke-Gonzalez yesterday released the Town’s 2027 Tentative Budget, a $118.9 million spending plan focused on maintaining Town services, supporting the municipal workforce and increasing capacity in departments facing growing demand.
The proposed budget totals $118,910,330, an increase of 7.44% over the 2026 Adopted Budget, and exceeds the New York State tax levy cap. The projected Town tax rate would increase by 6.27% outside the incorporated villages and 7.04% inside the villages. For a home with a market value of approximately $1.33 million, the estimated increase in annual Town taxes would be approximately $97 outside the incorporated villages and $46 inside the villages.
“Our community has grown, and the demand on Town services has grown with it,” Supervisor Burke-Gonzalez said. “This budget makes sure we have the people and resources in place to keep delivering the services residents count on, from public safety and senior services to recreation, housing and the Building Department. We also have a responsibility to be straightforward with taxpayers about what those services cost.”
East Hampton’s year-round population has grown by approximately 37% since 2010, increasing demand across Town government and the services residents rely on throughout the year. Keeping the Town’s tax levy within the State tax cap has become more and more challenging as the cost of providing those services continues to rise. For each of the last five budget years, the State Comptroller’s inflation factor for calendar-year local governments has exceeded the 2% allowable levy-growth factor: 7.17% in 2023, 6.26% in 2024, 3.30% in 2025, 2.64% in 2026 and 3.13% in 2027. While allowable levy growth has been limited to 2% in each of those years, the costs of health insurance, commercial insurance, utilities, fuel, materials and other goods and services have continued to rise. This mounting gap has made it more challenging each year to maintain the services residents rely on while remaining within the State tax cap.
A significant portion of the budget supports the Town workforce. Salaries and employee benefits account for approximately $73 million, or 61.41% of the Town-wide operating budget. Under the Town’s current agreement with CSEA, represented employees will receive a 5% contractual wage increase in 2027, the final year of the agreement. Employee benefits are budgeted at approximately $29.7 million, including $14.8 million for health insurance.
Strengthening the Building Department
The 2027 Tentative Budget increases funding for the Building Department by approximately $730,000, from $1.80 million to $2.5 million, with full-time salary funding increasing by more than $408,000 to $1.53 million.
The department has grown from 10 staff members in 2025 to 19 authorized positions today, with additional plans examiners, inspectors and administrative support.
“A well-functioning Building Department matters to a homeowner waiting for a permit, but it also matters to the contractors, tradespeople and local businesses whose livelihoods depend on projects moving forward,” Burke-Gonzalez said. “We have been adding the staff and resources needed to strengthen the department, and this budget continues that work.”
Maintaining Services for a Growing Community
The proposed budget includes approximately $29.37 million across the Police Department, Marine Patrol, Juvenile Aid Bureau and the Town’s public safety communications system. Another $6.75 million is budgeted for beaches, parks and recreation, including $1.59 million for lifeguard coverage, a 16% increase. Funding also includes $590,000 for the YMCA RECenter, $240,000 for the Montauk Playhouse and $750,000 for LTV.
More than $2.3 million is budgeted for senior nutrition, transportation, in-home services and Programs for the Aging. In 2027, Human Services is preparing to serve 40,000 congregate meals, provide 13,000 transportation rides, deliver 2,200 hours of housekeeping assistance and help 120 residents with residential repairs.
The Town’s Solid Waste and Recycling Fund is budgeted at approximately $9.26 million, up from $7.70 million in 2026, with much of the increase driven by the rising cost of processing and transporting waste off-Island. In 2027, the Sanitation Department expects to handle nearly 1,300 tons of recyclables, more than 8,600 tons of construction debris, nearly 12,000 tons of garbage and produce more than 4,200 tons of compost at the East Hampton Recycling Center and Montauk Transfer Station.
The budget also provides $959,100 to outside organizations and Town committees providing childcare, nutrition, food assistance, behavioral health, domestic violence, hospice and other services. General Fund support for Housing and Community Development increases from $438,217 to $605,849 to support staff and programs working to expand affordable and attainable housing opportunities.
Environmental protection remains a significant area of Town investment. Approximately $2.62 million is budgeted across Natural Resources, Aquaculture, Land Management and the Town Trustees for work including groundwater and surface-water monitoring, habitat restoration, coastal planning, shellfish restoration and stewardship of Town lands. Separate from the operating budget, the 2027 Community Preservation Fund budget includes $3.5 million for septic-system rebates and $2.5 million for water-quality improvement grants.
East Hampton enters 2027 from a strong financial position. Moody’s Ratings reaffirmed the Town’s Aaa ratings in July and assigned a MIG 1 rating to its 2026 bond anticipation notes, citing the Town’s strong financial management and a reserve position equal to approximately 40% of 2025 revenues.
The Supervisor thanked the Town’s Finance Department, department heads and Town employees for their work preparing the Tentative Budget and for their service to the East Hampton community throughout the year.
