Clean audit. Real obligations. Let's read the numbers.
Penn Yan closed Fiscal Year 2024–2025 with a clean audit opinion and approximately $42 million in total net position. But financial strength is not measured by assets alone. This page tracks debt, liabilities, infrastructure exposure, and fiscal capacity before major financial decisions move forward.
Source basis: Independent external audit and audited financial statements prepared by BST & Co., CPAs, LLP for the Village of Penn Yan (FY ending May 31, 2025).
The Village's $42.3 million in total net position appears strong on paper—but this figure is primarily comprised of fixed infrastructure assets, not liquid cash or operational reserves. A substantial portion is tied up in utility plants, equipment, and capital improvements that cannot be easily converted to meet immediate financial obligations.
The General Fund's unassigned balance of $3.03 million serves as the Village's operational cushion for unforeseen expenses and cash flow management. While this represents approximately 20–25% of annual General Fund expenditures—generally considered adequate by municipal finance standards—it must absorb revenue shortfalls, emergency repairs, and unanticipated costs without additional borrowing.
Pension obligations and Length of Service Award Program (LOSAP) liabilities represent ongoing structural commitments that grow independent of current budgetary decisions. These actuarially determined obligations create predictable but unavoidable pressure on future budgets, particularly as the workforce ages and benefit calculations compound.
The Capital Fund's $(856,000) deficit position signals that planned capital projects currently exceed available financing. This deficit will require either new bond issuances, interfund transfers, or project deferrals. The presence of Bond Anticipation Notes (BANs) totaling over $1.9 million further indicates reliance on short-term financing that must eventually be converted to long-term debt or repaid.
Asset Composition Chart — Placeholder for visual breakdown of net position by category
The Village carries $17.7 million in long-term liabilities, including bonds, notes, and capital leases.
Actuarially determined pension contributions and volunteer firefighter service awards create ongoing obligations.
Bond Anticipation Notes provide temporary financing for capital projects, requiring eventual permanent financing or repayment.
Debt Maturity Timeline 2026–2031 — Placeholder for visual timeline graphic
Infrastructure capacity is not unlimited. Before approving major development proposals, residents and officials should understand the Village's current system load, financing structure, and capital replacement obligations.
The Village Electric Fund carries substantial infrastructure debt. Any large-scale residential or commercial development will increase demand on generation capacity, transmission lines, and substation infrastructure. Capital improvements to accommodate growth must be financed—either through rate increases, additional borrowing, or developer contributions.
Wastewater treatment capacity is shared between the Village and Town of Milo. New development increases flows, maintenance costs, and long-term facility replacement obligations. Understanding cost-sharing formulas and capacity limits is critical before annexation decisions are finalized.
Water treatment plants, distribution lines, and storage tanks have finite lifespans. Expanding service areas accelerates wear on existing infrastructure and may trigger expensive upgrades or replacements sooner than currently projected in capital planning documents.
Fire trucks, ladder equipment, and emergency response vehicles represent multi-million-dollar capital commitments typically financed over 10–15 years. Expanding the Village's service territory increases response obligations and may necessitate additional apparatus purchases or mutual aid dependencies.
The Capital Fund's current deficit position indicates existing projects are outpacing available reserves. Without sufficient capital funding, infrastructure renewal and system expansions will require new debt issuance, placing additional pressure on future budgets and taxpayers.
Rising interest rates increase borrowing costs for new debt and BAN rollovers, directly impacting debt service obligations.
NYS Retirement System contribution rates fluctuate based on investment performance. Poor market returns can trigger sudden increases in required payments.
Water, sewer, and electric infrastructure ages on predictable schedules. Major replacement projects will require significant capital outlays in coming years.
Electric, water, and sewer rates must cover operating costs, debt service, and capital improvements. System expansion may accelerate rate adjustment needs.
Transfers between funds help balance budgets but can mask underlying structural issues. Excessive reliance on interfund transfers reduces flexibility.
Aid programs, grants, and revenue-sharing formulas can change. Reliance on external funding sources introduces volatility into multi-year planning.
PennYanCitizens.com is developing advanced transparency tools to help residents monitor Village finances over time.
Interactive visualization tracking total debt, maturity schedules, and debt-per-capita trends over time.
Scenario planning tool to assess infrastructure capacity under various development proposals.
Modeling how rate adjustments affect affordability and revenue sustainability across different customer classes.
Tool to estimate how much additional debt the Village can prudently absorb before reaching capacity limits.
PDF summaries of fiscal trends, major decisions, and financial analysis suitable for sharing and archiving.
Email updates when significant financial events occur—new debt issuance, audit releases, budget amendments.
Penn Yan's fiscal health depends on informed decision-making grounded in transparent financial analysis. Before approving major annexations, development proposals, or infrastructure expansions, residents and officials should understand the Village's current obligations, capacity limits, and long-term fiscal trajectory.
This page provides the foundation for that understanding. Stay informed. Ask questions. Demand accountability.
Related Resources
Data Source: All figures are derived from the Village of Penn Yan's audited financial statements prepared in accordance with Generally Accepted Accounting Principles (GAAP) for governmental entities.
Analysis Purpose: This page provides informational civic review and transparency. It does not constitute financial advice or investment guidance.
Independence: PennYanCitizens.com is an independent, citizen-funded public information project. This analysis is not sponsored by any political party, candidate, developer, or government entity.
Last Updated: January 19, 2026
This page will be updated as new financial reports, audits, and debt disclosures are released.