Seven villages in New York, including a handful in the Hudson Valley, were designated as experiencing fiscal stress for their financial year ending in 2025, according to a report from state Comptroller Tom DiNapoli’s office released Thursday.

Using a Fiscal Stress Monitoring System, the comptroller’s office evaluation of local governments found one village in “significant fiscal stress,” four in “moderate fiscal stress” and two as “susceptible to fiscal stress.” 

Island Park in Nassau County was found in significant fiscal stress; Liberty in Sullivan County, Tivoli in Dutchess County, Coxsackie in Greene County and Alexander in Genesse County were in moderate fiscal stress; and Homer in Cortland County and Huntington Bay in Suffolk County were susceptible to financial stress, DiNapoli said.

The findings, however, do take into account local governments that didn’t file annual financial reports in time to be scored by the monitoring system. In total, 101, or nearly 20%, did not file their required annual financial reports for scoring by the comptroller for 2025, including three villages found stressed in fiscal year 2024 – Saugerties in Ulster County, Washingtonville in Orange County and Kaser in Rockland County, DiNapoli said.

DiNapoli’s latest fiscal scores evaluated local governments with fiscal years ending between Feb. 28 and July 31, 2025, and included 518 villages but also 17 cities with non-calendar fiscal years with fiscal years ending June 30. Those include Buffalo, Rochester, Syracuse and Yonkers.

The fiscal stress system is based on year-end fund balances, cash positions, short-term cash-flow borrowing and patterns of operating deficits.

“The number of local governments with a fiscal stress designation remains low, but many cannot be evaluated because they do not file their required annual financial reports in time to be scored,” DiNapoli said. “A gap in filing is in itself a risk and creates a missed opportunity to identify fiscal stress and take corrective action before more drastic steps are needed. With uncertainty coming out of Washington having the potential to affect state and local funding and the economy, officials must closely monitor their financial condition to be able to adjust to changes that may lie ahead.”