Budget Adoption Postponed as County Awaits Sandy Funding

Adoption of the county budget was once again postponed, as the county recently became aware of possible funding that could boost its ratable base, which was drastically cut due to Superstorm Sandy.

The Ocean County Freeholders approved a resolution at its regular meeting Wednesday allowing the county to apply for funding through the U.S. Department of Housing and Urban Development.

“Actually, it’s good news,” Freeholder Director John P. Kelly said.

The funding would come from CDBG, separate from the grants the county receives annually through the program. The money is for communities whose ratable base diminished by more than 5 percent because of the superstorm, county Business Administrator Carl Block said.

“We may be able to incorporate (the funding) into the 2013 budget, which by the way, we are holding because we may have the opportunity of having more funds come our way,” said Freeholder John C. Bartlett, Jr.

The county will apply for the grant, and could receive information on its eligibility within three days to a week. It is unknown how much funding Ocean County could possibly receive.

Budget adoption was postponed because if the county receives money through this grant, the budget would have to be modified.

Additionally, the Freeholders approved a resolution for the Community Disaster Loan Program through FEMA. The county was notified that it would receive $5 million to help offset the ratable loss.

Since Hurricane Sandy, the county’s tax base has been slashed by an estimated $9 to $10 billion — $3.6 billion due to the storm and $5.4 billion due to a loss of market value.

This funding is a loan, Block said. In three years, if the ratable base has not been restored, the county will apply to have the loan forgiven and converted into a grant.

On May 1 the Freeholders also postponed budget adoption as the county awaited approval from the state.

As is, the county tax rate will jump 3.7 cents for each $100 of equalized valuation. But using some of the 2013 county open space tax funds will pare the increase to 3.2 cents, Bartlett previously said.

The amount to be raised by taxation will rise $4 million, to $304,086,696, but $4 million from the county open space fund will be used to offset the increase, he said.

On Wednesday, the Freeholders also approved a resolution authorizing the amount of $6,766,752 to be raised by taxation for the purpose of the Ocean County Natural Lands Trust Fund.

The impact to the average homeowner is unknown and will vary greatly due to the change in the tax base, Bartlett previously said.

The $386,188,713 budget, which was introduced early in April, is up $32 million from last year, primarily due to a $22 million emergency appropriation the county fronted after Sandy hit to pay for costs of clearing debris from county and municipal right-of-ways. The county expects to recoup most of that money.