Spending up, revenue up, taxes flat
By: Michael Arges
EAST WINDSOR Residents will have the chance to discuss the township’s spending plans, Tuesday night.
The Township Council will hold a public hearing on the 2000 operating budget at 8 p.m. in the municipal building’s public meeting room.
At the introduction of the budget on May 30, Mayor Janice Mironov noted that, despite significant increases in costs for municipal employees’ health insurance, the township is able to maintain "the same level of services and programs" while maintaining the same level in the municipal portion of residents’ property taxes.
The budget proposes an increase from $14,033,178 for 1999 to $14,428,836 for 2000, an increase in spending of $395,658. Despite the 2.82 percent increase in spending, the tax rate will remain at 37.8 cents per $100 of assessment, meaning that the municipal portion of property tax on a $150,000 home would remain at $567 for the year.
The tax stability is possible, in part, because of an increase of $40 million in the township’s ratable tax base, Mayor Mironov noted.
The budget reflects a $513,730 increase in total insurance premiums with about $300,000 of that is an increase in medical insurance, according to Mayor Mironov. This is somewhat offset by a $128,345 savings expected from the township’s contracting out of daytime emergency medical services rather than using its own EMT employees.
On the township’s income side of the balance sheet, a $75,639 decrease in revenues from interlocal service agreements resulted from the termination of an interlocal municipal service agreement with the Borough of Hightstown.
Under that agreement East Windsor provided health inspection, health information for Hightstown, but the borough has switched to West Windsor for these services. But Mayor Mironov noted this decrease in revenue is partly offset by $32,000 reduction in Board of Health salaries.
This budget stability is also helped by about $3.1 million in additional revenues above what was expected in 1999, Mayor Mironov said. A total of $17,346,994 in general revenues was realized in cash, 22 percent more than the $14,202,738 anticipated.
Mayor Mironov said one indication of the township’s healthy and positive financial situation is that the budget contains "a very healthy surplus" of $2,405,434 for 1999 with "no gimmicks or shortcuts."
Another plus for the township was an increase in the tax collection rate, to almost 98 percent, which also helps avoid the need for a tax rate increase.
Mayor Mironov said the two major budget increases were the increase in insurance premiums and an increase in salary and wages of about $270,000. The biggest single category of wage increases was an increase of 4.25 percent from $3,791,916 to $3,953,115. These were normal wage increases according to previously negotiated contracts, she said.
At the May 30 council meeting, Mayor Mironov praised the council and employees for being "extremely prudent and conservative" in spending tax dollars.