Under budget pressure, Riverside residents will be faced with a property tax increase referendum Nov. 4 as a means to add one police officer and retain service levels the village currently provides.

Kevin Wachtel, financial director for the Village of Riverside, said the vote asks residents to increase a limiting rate, which limits the amount the village can levy each year, to 1.180 instead of the current 1.176 for the next four years.

“The rate is dropping over time,” Wachel said. “It was up around 2 (percent) a while back, now it is at 1.176. We will be below 1 (percent) unless something changes.”

If the limiting rate is increased to 1.180, and property values continue to grow in Riverside, Wachtel said the village will receive more revenue. The increased revenue will get Riverside out of financial trouble and allow the village to continue to support the services and amenities it currently provides along with a few additions.

Trustee Kevin Smith said this will cover the shortfall the village currently has, and also accomodate additions to the budget the board is seeking.

“The bulk is an additional police officer, then additional things related to forestry, managing the parks and wilderness areas and (allows us) to deal with any natural catastrophes,” Smith said.

Smith said there will also be $100,000 set aside for capital improvements.

“It takes a long time to build up enough money to do any significant project, to be able to deal with any catastrophes that come up, but also to do things in the future that can be planned,” Smith said.

Wachtel estimated if a home is valued at $450,000, the median cost of a home in Riverside, the homeowner could expect to see a $210.86 increase in 2009, $331.35 increase in 2010, $467.48 increase in 2011 and a $620.95 increase in 2012.

Smith said the village’s services would increase alongside the revenue.

If residents of Riverside choose not to approve this referendum, the board and village officials have prepared various budgets to reflect that scenario. Wachtel said depending on the outcome, the village could maintain services for a year or two but there will be an even greater deficit.

He said it is even a possibility village positions or services will no longer be funded because of the lack of revenue.

The other option the board considered over the last couple months to combat their financial defecit was making Riverside a home-rule community. That would have allowed Riverside to have a greater flexibility by not being bound to the state and allow a real estate transfer tax, which would have been an additional tax imposed on the buyer or seller during closing.