.3% Tax Increase in Finalized Caldwell Budget

The Borough of Caldwell’s 2013 budget is officially in the books. 

The council unanimously approved a $11,851,778 budget on Tuesday night — with the exception of Councilman Richard Hauser who was absent.

In July, the council nixed more than than $81,000 from the preliminary budget, which dropped the tax increase from 1.4 percent to .3 percent.

The average assessed home in Caldwell, priced at $421,455, can expect to pay an additional $8.76 in taxes this year, bringing the average municipal tax bill to $2,987.

“A lot of effort went into preparing the budget,” said Borough Administrator Paul Carelli on Friday. “There was a lot of scrutiny for all the numbers … to provide the best possible budget for the residents of Caldwell.”

This year’s tax increase is minimal compared to the tax hikes since 2005. The average tax increase in Caldwell from 2005-12 was $165. The highest increase was in 2005 when taxes jumped $594 and the lowest was in 2011 when taxes went down by .3 percent.

Caldwell taxes are stabilizing, said Carelli, and tax increases are expected to remain low for the foreseeable future. Looking at just the last three years, Carelli noted the municipal taxes have increased a total of $45 for the average resident. 

When the budget was reduced in July, the largest cuts were seen in municipal salaries and wages. Some of the cuts included:

• $25,000 from the Caldwell Community Center’s budget.
• $20,000 from administration costs
• $11,000 from the Caldwell Police Department
• $6,000 from the engineering department

This budget also includes a 2 percent across-the-board salary increase for the borough’s nearly 20 employees.