NEW ROCHELLE, NY (October 10, 2026) — Westchester County and all 11 municipalities serving New Rochelle, Pelham, Mamaroneck, Larchmont, Rye, Rye Brook and Port Chester received favorable fiscal stress ratings from New York State Comptroller Thomas P. DiNapoli, according to the latest municipal results. Seven local school districts also received no fiscal stress designation in the state’s 2024 assessment, although New Rochelle and Port Chester-Rye received warnings for environmental stress.
Westchester County earned a fiscal stress score of 3.3 out of 100, placing it comfortably within the state’s “No Designation” category. County Executive Ken Jenkins and Finance Commissioner Karin Hablow welcomed the results, citing disciplined budgeting and financial management.
The findings come from the Comptroller’s Fiscal Stress Monitoring System, an annual assessment of the financial condition of local governments and public school districts throughout New York.
Local Governments 2025 Data (updated September 2026)
School Districts 2025 Data (updated January 2026)
What Is the Fiscal Stress Monitoring System?
The Fiscal Stress Monitoring System was established in 2013 under DiNapoli as an early warning system to identify local governments and school districts showing signs of financial difficulty. The program emerged in the aftermath of the Great Recession, when falling revenues and mounting financial pressures exposed vulnerabilities in government budgets.
The system examines several indicators of financial health, including operating deficits, fund balances, cash availability and borrowing. Governments receive numerical scores, with higher scores indicating greater fiscal stress.
For municipalities, scores from 0 to 44.9 receive “No Designation,” while scores from 45 to 54.9 indicate susceptibility to fiscal stress. Scores from 55 to 64.9 indicate moderate fiscal stress, and scores of 65 or higher indicate significant fiscal stress.
School districts are evaluated using a separate scoring methodology and classification thresholds.
The Comptroller also calculates environmental stress scores, which consider economic and demographic conditions that can place pressure on government finances. These include factors such as population trends, poverty, property values and other economic characteristics. School district assessments also consider conditions affecting the communities and student populations they serve.
Environmental stress does not necessarily mean a government is experiencing financial difficulties. Rather, it identifies underlying conditions that could make maintaining financial stability more challenging.
Westchester County Earns Favorable Rating
Westchester County received a fiscal stress score of 3.3 and an environmental stress score of 13.3, with no designation in either category.
County Executive Ken Jenkins said the results demonstrated the county’s commitment to maintaining financial stability despite challenging economic conditions.
“A Fiscal Stress Score of 3.3 is another strong indication that Westchester County remains on solid financial footing,” Jenkins said. “We are certainly in trying financial times, with more and more cuts from the Trump Administration and residents who desperately need services. We are committed to disciplined budgeting, thoughtful financial planning and a commitment across County government to protecting the long-term fiscal health of Westchester.”
Finance Commissioner Karin Hablow pointed to the county’s financial reserves and expenditure management as important factors.
“This year’s Fiscal Stress Score is a reflection of the County’s continued commitment to sound financial management and disciplined budgeting,” Hablow said. “A score of 3.3, well below the threshold for fiscal stress, demonstrates the strength of the County’s financial position and the importance of maintaining healthy reserves, carefully managing expenditures and making prudent financial decisions.”
All 11 Sound Shore Municipalities Avoid Fiscal Stress Warnings
The Comptroller’s 2025 municipal assessment found that every city, town and village in the Sound Shore coverage area received “No Designation” for both fiscal and environmental stress.
The City of New Rochelle received a fiscal stress score of 12.9, with an environmental stress score of zero. The Village of Pelham received a fiscal stress score of 19.2, the highest among the 11 local municipalities examined, while the Town of Pelham received a fiscal score of zero. The Village of Pelham Manor received a fiscal score of 3.3.
In Mamaroneck, the Village of Mamaroneck received a fiscal stress score of 10.0, compared with 8.3 for the Town of Mamaroneck. The Village of Larchmont received a score of 3.3.
The City of Rye received a fiscal score of 3.3, while the Town of Rye received a score of 6.7. The Village of Rye Brook received a score of 3.3, and the Village of Port Chester received a score of 1.7.
Environmental stress scores were also relatively low throughout the area. Larchmont and the Village of Mamaroneck each received environmental scores of 6.7, Pelham Manor received 3.3, and the remaining eight municipalities received scores of zero.
None approached the state’s threshold for an environmental stress designation.
School Districts Show Different Environmental Conditions
The Comptroller’s 2024 school district assessment, covering the 2023-24 school year, found that all seven districts serving the Sound Shore received no fiscal stress designation. However, two districts received environmental stress warnings.
The New Rochelle City School District received a fiscal stress score of 10.0, with a designation of “No Designation.” Its environmental stress score was 33.3, earning a classification of “Susceptible Environmental Stress.”
The Port Chester-Rye Union Free School District received a fiscal stress score of 6.7, but its environmental stress score was 60.0, placing it in the “Significant Environmental Stress” category. That was the highest environmental stress classification among the seven districts.
The remaining five school districts all received fiscal stress scores of zero.
The Mamaroneck Union Free School District received an environmental stress score of 20.0, while the Rye Neck Union Free School District received a score of 15.0. The Blind Brook-Rye Union Free School District received an environmental score of 10.0, and the Rye City School District received 5.0. The Pelham Union Free School District received an environmental score of zero. All five received no environmental stress designation.
The distinction between fiscal and environmental stress is particularly relevant for New Rochelle and Port Chester-Rye. Neither district received a fiscal stress warning, but both serve communities where the Comptroller identified underlying economic or demographic pressures.
What the Scores Mean for Taxpayers
The Fiscal Stress Monitoring System provides a standardized method for evaluating the financial condition of governments and school districts, but the scores do not constitute a comprehensive audit of spending or financial management.
A government receiving “No Designation” has not triggered the state’s fiscal stress thresholds. That does not necessarily mean it has no financial challenges, future budgetary pressures or questionable expenditures.
Similarly, an environmental stress designation does not establish that a municipality or school district has mismanaged public funds. It identifies conditions that can make financial stability more difficult to maintain.
The system also allows taxpayers to compare results over time, making it possible to identify whether a government’s financial position is improving or deteriorating.
For the Sound Shore, the latest municipal results show no fiscal stress designations among Westchester County or the 11 local municipalities examined. The 2024 school district findings present a similar picture of fiscal stability, but identify environmental pressures affecting New Rochelle and Port Chester-Rye.
The Comptroller’s findings provide residents with a starting point for evaluating the financial health of their local governments and school districts, while distinguishing current financial conditions from economic and demographic challenges that could affect future budgets.
This article was prepared with the assistance of AI tools under the direction and editing of Robert Cox.
Have information about this story? Email robertcox@talkofthesound (preferred) or contact via WhatsApp: +353 089 972 0669.