CPF Revenues Down In East Hampton, Up In Southampton

Community Preservation Fund revenues increased by double digits so far this year in Southampton Town—but went down nearly as much in East Hampton Town.

According to State Assemblyman Fred Thiele Jr., who represents both towns, CPF revenues from the five East End towns for the first six months of 2017 produced $49.29 million, compared to $46.15 million over the same time period last year—a 6.8-percent increase.

Over the first six months of this year, Southampton Town collected just over $30 million in revenue, a 22.1-percent increase over the $24.62 million during the same period of 2016.

But over the same time period in East Hampton Town, CPF revenues went from $16.48 million last year to $13.12 million this year—a 20.4-percent decrease.

After reviewing the revenue figures, East Hampton Town Budget Officer Len Bernard attributed the decrease to a few major home sales in February and March 2016, which gave the town a boosted CPF revenue of $7 million back then when compared to February and March of this year, which produced more typical revenue of just over $4 million. Despite this decrease, over the last three months East Hampton’s CPF revenue increased compared to the second quarter of last year—$6.7 million in 2017, versus $6.3 million in 2016.

In the end, Mr. Bernard said, the yearly CPF revenues are likely to even out, and East Hampton is nearly halfway to meeting last year’s $27.6 million total.

“I don’t expect that in the end we’re going to be that much different than last year,” Mr. Bernard said. “I’m not saying we’re going to be exactly where we were last year, but my gut feeling is that we’re going to be pretty close.” He added that “$13 million is nothing to sneeze at for half the year.”

East Hampton Town Supervisor Larry Cantwell said that, on average, the town gets $2 million in revenue a month, and that periodic “bumps” and falls in revenues are normal.

Mr. Thiele agreed, noting that in his nearly two decades working with CPF revenue figures, he has seen disparities arise, although he clarified that the 20.4-percent drop was unusual.

“One of the things I would say is that they balance out over time—but there are periods where certain places are really, really hot from a real estate perspective,” Mr. Thiele said on Tuesday. “There have been times that Montauk has been hot. Some of it may just have to do with supply and demand of what’s available in particular communities at different prices … Those things happen—it’s kind of part of the market.”

Mr. Thiele said that he anticipates CPF revenues to continue to rise with the real estate and stock markets and to reach $100 million across the five towns by the end of the year.