Point Boro May Avert Police Layoffs, Furloughs Upon 2011 Budget Adoption

Point Pleasant Borough employees may not have to be concerned with additional furlough days or the prospect of layoffs as the governing body finalizes plans for the 2011 municipal budget.

Although the budget, as introduced, calls for , recent work by the administration and Finance Committee may result in a balanced spending plan that is within the state-mandated 2 percent cap without the austerity measures, Councilman Chris Leitner said Tuesday.

"I anticipate... we can remain underneath our caps without layoffs and without furloughs, which themselves have potentially harmful impacts on future budgets," said Leitner, chair of the Finance Committee, at a meeting of the Borough Council.

The Finance Committee will meet Wednesday to continue discussions on the delayed municipal budget. Leitner said after the meeting that he expects the committee will be able to soon forward a recommendation to the full governing body so it can adopt the 2011 spending plan. 

As it stands, the introduced budget calls for about $12.3 million to be raised in taxes and a tax rate increase of about 1.25 cents per $100 of assessed value. Homeowners at the borough's average assessment of $383,000 would see a $48 annual tax increase.

However, the possible elimination of furloughs and layoffs would then have a modest effect on the overall tax levy and corresponding increases, although Leitner said after the meeting that the final tax rate has not yet been set.

The borough has had a tumultuous few months as officials needed a state extension to introduce its budget as it worked to reconstruct its financial books after an outside audit found them in "complete disarray."

Against a backdrop of , the borough initially considered imposing. Union representatives to take five days, and as recently as this month the governing body was planning at least 14 furloughs and four police layoffs to help balance the budget.

But Leitner said fresh thinking and the work of the administration and outside auditors has led the Finance Committee to re-think the option.

"No one was satisfied with that (layoffs, furloughs) scenario," Leitner said. "As with any work in progress, sometimes you look at things from a new angle.

"The question we ought to have asked, and the question we need to ask now is do we need any additional furloughs, layoffs or concessions," Leitner said. "My feeling is the answer to that question is a firm no.

"We can adopt a balanced and responsible budget without layoffs and furloughs."

Leitner said after the meeting that the Finance Committee essentially changed its assumption about whether such employee concessions would be necessary to get the budget under the 2 percent cap and believes it will be possible, although he emphasized that nothing has been finalized.

The future financial impact of the furlough days already taken also remains to be seen at this point.

The Finance Committee chairman also emphasized that the provisions of the final budget document are dependent upon the continued analysis of what was termed a "work in progress."

Councilman Mitch Remig reiterated his stance against a proposal to scrap outside garbage collection and have the borough perform the service, which also is dependent upon the outline of the final budget.

"I don't see the benefits of it right now...of taking it in-house," he said.

"I'm not going to buy garbage trucks off the backs of the employees."

Remig said that "When the Finance Committee meets tomorrow, I would strongly encourage them to remove this garbage from the budget, no pun intended."

Maffei said the borough has not yet issued requests for proposals from private trash haulers as it seeks to determine whether it can get a better rate than currently enjoyed, provided garbage collection is not moved in-house.

Leitner said the Finance Committee will continue to explore all options related to the costs of garbage collection.