Eyeing a 63.5% tax increase, the village of Fredonia doesn’t find itself on a list of local governments considered to be in fiscal stress by the state Comptroller’s Office.

The list released Thursday focuses on governments like villages that have a non-calendar year financial cycle and show no Chautauqua County cities, towns or villages listed as in any fiscal stress. A report for local governments whose budgets follow the calendar year will be released in September.

But, a growing number of municipalities – 20% statewide, according to the Comptroller’s Office – haven’t filed the required financial documents to be considered for the comptroller’s Fiscal Stress Monitoring System.

Fredonia is one of them. The last year the village filed the required paperwork was 2023, though the village wasn’t listed in any of Comptroller Thomas DiNapoli’s fiscal stress categories that year. Also not filing financial reports to the comptroller’s office are Bemus Point, which last filed in 2015.

Local governments are statutorily required to file an Annual Financial Report with the Comptroller’s Office following the close of their fiscal year. In total, 108 local governments did not file their data in time to receive a Fiscal Stress Monitoring System score, a date that is at least three months past their statutory filing deadline. DiNapoli said non-filers comprise 20% of the local governments evaluated for this cycle of stress monitoring representing more than 482,000 New Yorkers.

While no local villages find themselves in fiscal stress, there are some warning signs on the horizon. The Fiscal Stress Monitoring System analyzes separate environmental indicators to help provide insight into the health of local economies and other challenges that might affect a local government’s or school district’s finances. This information includes population trends, poverty, and unemployment.

Four local villages are listed as facing some environmental factors that could cause future budget stress. Brocton The village of Brocton is designated as facing moderate environmental stress, the second-highest designation for environmental indicators that include a 6.21% decrease in population over the past five years from 1,402 residents to 1,315 residents; a high percentage of households on public assistance (33.21% of the village’s 542 households); and percentage of population under 18 years of age and over the age of 65 (50.25).

Three villages are rated as susceptible to environmental stress, the first level of environmental stress levels in teh comptroller’s system: Sherman, Sinclairville and Westfield.

Sherman is listed for its population decline over five years (-1.47%), households on public assistance (20.24%), population under 18 and over 65 (50.7%), a low median household income ($48,958), and reliance on state and federal aid, with aid totaling 17.8% of revenue over three years. Sinclairville made the list for its percentage of households on public assistance (37.68%), percentage of population under 18 and over 65 (49.9%), median household income ($43,409). Westfield’s combination of population decline (2.34% over five years), households on public assistance (22.73%), percentage of residents under 18 and over 65 (53.2%), change in home values (13.77%), median household income ($43,385) and unemployment rate (9%).

Other villages are just below being susceptible to fiscal stress, including Cassadaga, Celoron and Panama. Cassadaga’s population loss (6.01%) over the past five years, population under 18 and over 65 (45.8%), change in home values (6.1%) are issues flagged by the comptroller’s system. In Celoron, the system noted the percentage of households on public assistance (26.57%), population under 18 and over 65 (49%), and reliance on state and federal aid, with aid totaling 16.4% of revenue over three years. Panama was noted for its lack of home value appreciation (13.65%) over the past five years and reliance on state and federal aid, with aid totaling 20% of revenue over three years.

DiNapoli’s office has a self-assessment tool that allows local officials to calculate fiscal stress scores based on current and future financial assumptions. Officials can use this tool to assist in budget planning, which is especially helpful during periods of revenue and expenditure fluctuations.

“The number of local governments with a fiscal stress designation remains low following several years of emergency federal pandemic aid that helped stabilize their finances,” DiNapoli said. “With that aid coming to an end and uncertainty coming out of Washington on state and local funding cuts, local officials should closely monitor their financial condition so they can be prepared for any financial challenges that lie ahead. I encourage local governments to use our self-assessment tool to help them budget and avoid potential pitfalls.”