|
Monmouth Freeholders Propose Zero Tax Increase For 2008
FREEHOLD - There will be no need for a tax increase this year, the Monmouth County Board of Chosen Freeholders announced last week after adopting an amendment to the county's $481 million 2008 operating budget which would reduce county spending by more than $8 million this year.
The freeholders had initially planned to adopt the budget following its public hearing of the amendment at their February 28 meeting. However in order to make the cuts official, the board rescheduled its vote for final adoption to Thursday, March 6 at noon at the Hall of Records building on Main Street in Freehold.
"There is no single power of government that directly touches the lives of more people than the power to tax," Freeholder Director Lillian G. Burry said when introducing the amendment. "Therefore, I have directed that a budget amendment be drafted that meets my two objectives: preservation and continuation of our strong county programs, and a zero tax increase."
The amendment would reduce the budget from $489,200,000 as introduced to $481,114,000, a near 2 percent increase in the overall budget. The amount to be raised by taxation would be reduced from $294,590,000, as introduced, to $286,504,000, which is the same as 2007.
The cut in the tax burden will be realized by reducing costs for insurance, social security and disability, as well as an increase in revenue from a recent bond sale. Additionally, the freeholders agreed to apply unexpended balances from existing bonds to offset the proposed tax increase.
The amendment is a sound plan that creates no new debt and no additional tax burden, said Freeholder Robert D. Clifton.
"Residents in New Jersey are fed up with high state taxes, and Monmouth County residents are no exception," said Clifton. "In view of the governor's cuts, many of which merely shift the tax burden from the state to local government, we felt it was incumbent upon us to deliver real tax relief now."
For the third year in a row, Monmouth County freeholders have crafted a budget that holds the tax levy to below the rate of inflation. When the freeholders began their budget deliberations in December, they were staring at a $13.2 million increase in the tax levy. However, that figure was whittled down to $8 million, or 2.8 percent over the 2007 tax levy, for the budget's introduction in January.
While Freeholder John D'Amico Jr. said he supports the reductions in the tax levy, he agreed with his fellow freeholders who said they must continue to identify new areas to find savings through the county's strategic plan.
"Taxes have become the biggest concern to Monmouth County residents and business leaders," said D'Amico. "This is a reasonable beginning. Many of the cuts are responsible, even though they are one-time receipts. Hopefully, there will be economies in the strategic plan."
According to the county's Finance Director Mark E. Acker, both pension increases and utility costs are largely responsible for the nearly 2 percent rise in the overall budget this year.
"We have achieved this goal (of a zero tax increase) despite Trenton's failure to adequately address major issues, such as school funding or its mismanagement of the state pension fund, which is causing mandatory annual pension payments to increase by 50 to 100 percent a year to cover a shortfall," Clifton said. "Not only are we paying dearly for Trenton's mistakes, but we are required to pay the money back over a five-year period at 8.2 percent interest."
Freeholder William C. Barham said in the tax levy have steadily declined over the past four years.
"Four years ago, budgets contained six percent and eight percent increases," he said. "This board has not recklessly cut the budget; we have methodically and diligently gone through this budget to identify areas that can be cut. We will continue to do that."
The public's feedback and recommendations during the series of budget presentations held around the county in recent weeks were greatly appreciated, said Freeholder Barbara J. McMorrow.
"The input from the public was invaluable," McMorrow said. "These are hard times financially. We are facing the closure of Fort Monmouth, a decline in the housing market and instability in the state budget. But for the first time we have a zero increase."
In this fiscally cautious time, Burry is pleased the county continues to try and find new ways to help ease the taxpayers' burden.
"Tax troubles for the people of New Jersey may be far from over," she said, "but one thing will be certain- Monmouth County won't be part of the problem."
| 
