By GARRETT STASSE
Tinton Falls property owners face a situation confronting nearly every municipality in Monmouth County: rising property taxes.
The 2008 budget, driven by higher costs for salaries, insurance and a loss of state aid, will rise by 5 percent this year, with taxpayers seeing a rate cut by about half, to 36 cents for each $100 of assessed valuation, yet an average $48 increase in the municipal portion of the property tax bill. The hike, based on a property assessed at $343,683 the municipal average for a house here is up from the $1,165 the owner paid last year.
The municipal levy is $10,317,640, up from $9,663,618 last year. The total spending package is $20,901,804 this year, against $19,916,089 in 2007.
The biggest single hit was the loss of some $178,000 in state aid. But soaring fuel prices and declining federal aid for hosting Fort Monmouth, coupled with a drop in interest rates on investments also hurt, Mayor Peter Maclearie said.
Its only 13 cents a day, he said of the tax increase. Generally after two years of zero increases people understand that were getting hit by rising fuel costs and a decline in federal aid and interest. They know we couldnt do anything about it.
Noting the budget contains no personnel or service cuts, he said, I think this is a pretty successful budget overall.
He said rising fuel costs were a factor in the budget.
When every dollar we can find in (budgeting) discussions is going to fuel costs were faced with a situation where costs are going up faster than we can keep up with it, the mayor said.
The good news, Maclearie said, is the borough continues to add ratables that should keep taxes at least stable if not actually lower. The Premium Outlet Mall and other non-residential growth will help in coming years, he said.
The borough is also negotiating with its four unions for permission to switch the employee benefits package to the state Health Benefit Plan, which could save thousands of dollars. Borough Administrator Brian Dempsey said three of the four unions have agreed. He did not identify the fourth, but the savings will begin if it agrees by July 1. Any time after that could cost up to $16,000 a month, he said.
The Borough Council introduced the budget Tuesday. No hearing date was set.
Council President Michael Skudera approved of the budget, at least as presented.
Its not a bad budget but I wanted more meetings to see where to cut, he said. Were basically introducing the budget the mayor presented.
But Councilman Brendan Tobin noted that there were no cuts suggested during two public workshops.
I didnt hear a lot of suggestions from people on where to cut. There were plenty of opportunities to hear them and we didnt. Those two meetings were a big waste of taxpayer money, he said.
Council also killed an ordinance to extend the council presidents term from one year to two by a 3-2 vote.
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