Trustees of an eastern Long Island town where some of the world's most rich and famous converge every summer are raising property taxes by about 24 percent to help cut a $15 million deficit.
The East Hampton Town Board approved a $68.5 million spending plan on Tuesday night by a 3-2 vote.
Town Supervisor Bill McGintee has said rising health care costs for employees and waning tax revenues because of the downturn in the real estate market led to a huge deficit over several years.
Opponents contend mismanagement and overspending are to blame. The town has borrowed the $15 million to close the deficit, but will see higher debt service fees in 2009 because of it.
East Hampton has about 21,000 year-round residents; the population swells to 90,000 in the summer.