The borough will once again seek discretionary aid from the state, this time to offset a proposed 7.7-cent tax-rate hike.
By: Scott Morgan
HIGHTSTOWN Borough Council introduced its 2002 municipal budget Monday.
The proposed budget is tentatively set at $4,476,038, an approximately $235,000 increase over last year’s budget. For the time being, the proposed tax rate would rise 8.5 percent to 7.7 cents per $100 of assessed property value if the budget is approved.
Borough Administrator and Chief Financial Officer Phil Del Turco credits the raise, in part, to a 15-percent increase in insurance coverage.
Though Mr. Del Turco said the introduced budget is mostly accurate, he said there is a contingency in regard to state discretionary aid. Discretionary aid is money from the state to municipalities that have no growth in ratable income. Last year, the borough received $150,000 in state aid, which has been factored into the 2002 budget. However, the borough has applied for $250,000. Whether it gets that much, or not even as much as in 2001, will affect the final budget.
As introduced, the tax impact of the 2002 budget rates at 97.7 cents per $100 of assessed value. A homeowner with property valued at $100,000 would see an increase of $77 in the borough’s portion of the property tax bill.
The final budget is expected to have its public hearing and final vote May 6, pending a response from the state.