Township Approves $16.6 Million Spending Plan

With no public comment, the Township Committee has adopted the $16,647,957 municipal budget, which will raise property taxes by an average of $80.70 annually, based on the average assessed value of a home, $807,000. 

No residents came forward to speak in a sparsely attended governing body meeting Tuesday, where the committee unanimously endorsed the spending plan. The budget increases spending by 0.13 percent over the 2009 plan, or $21,047, although most expenditures stayed flat as officials dealt with a loss of state aid.

"This is basically a maintenance budget. We've worked very hard to keep the tax levy under control, and we certainly have done that under this budget... we made it clear to department heads that once again they would have to do more with less, and they gladly accepted that challenge and responsibility," said Committeeman Chris DePhillips, a member of the governing body's Finance Committee.

"I think this is a budget we can be proud of," he said.

The spending plan carries a $11,149,294 tax levy, which is 5.85 percent, or $616,042, over the 2009 plan. The average homeowner will pay an extra $6.73 per month for a total annual municipal tax bill of $1,880.31, just almost $81 over last year's bill.

The tax levy increase is largely owed to increases in fixed costs, such as contracted salaries ($100,166 bump), health benefits ($139,020) and pension payments ($36,898), as well as a drop in revenue, due in part to the economic downturn. For example, the township is taking in $100,000 less in construction code fees. Additionally, Mother Nature has played a role, with $224,775 necessary for overtime, plowing and salt, necessitating a $34,000 increase over the 2009 expenditure. A drop in fund balance, interest income and other factors contributed to the township taking in $594,997 less in revenue as compared to 2009. 

The Township Committee's task was compounded by the loss of $373,363 in state aid, more than double what was initially expected. The news came as the Finance Committee, also consisting of business Administrator Bob Shannon and CFO Diana McLeod, were drafting the 2010 plan, requiring officials to reassess their plans. 

"We experienced a substantial loss of state aid. We did not pass any of that on to the taxpayers. We absorbed that cut and found places to cut," DePhillips said.

Specifically, the township has reduced its capital outlay by 16 percent, while garbage disposal costs will also be cut due to a shared effort with Franklin Lakes and Oakland. The Township Committee has again waived its stipend, saving $20,000, and there is a hiring freeze at Town Hall. Few areas will see increases, with an extra $77,000 allotted to defend the township from tax appeal litigation, $57,500 more for debt service and $19,632 for the Planning Board to deal with state-mandated reporting requirements.

"What enables us to produce these austere budgets time after time... everybody is aware of where we can scrape that last penny from, and they all add up. It is a pleasure that we're thinking year-round about how to get the most out of a dollar," said Committeeman David Connolly, chair of the Finance Committee.

Additionally, the township reached agreements this year on new labor contracts for the Police and Public Works departments, both of which feature health-care givebacks with average raises that are less than 3 percent annually over the life of the deals.

"We worked very hard on negotiating labor contracts that enabled us... to keep this budget as a maintenance budget without a tremendous increase in expenditures," Mayor Rudy Boonstra said. 

The township is expected to get some monetary help soon, as the state librarian has approved the return of approximately s to the township. A vote is expected by the library Board of Trustees tonight on an updated resolution to return the funds, which will be rolled into the next budget cycle.

"We also continue to position ourselves for future years," Connolly said.