Municipal tax rate would increase 2.5 cents.
By: Vanessa S. Holt
BORDENTOWN CITY The average homeowner would pay an additional $27.25 in local property taxes under the budget introduced by the City Commission on Monday night.
Mayor Bill Collom said the proposed 2.5-cent tax-rate increase is mainly due to the rising cost of utilities and insurance.
"Health and every other insurance have gone up since Sept. 11," he said.
City officials said they had been waiting to see if more state aid would be available this year, but because there were no increases in state aid the city must make up for increased expenditures itself.
Ongoing contract negotiations with city employees also contributed to the late introduction of the budget. The state recommends that municipalities introduce their annual budgets in February.
The general fund for the proposed 2002-03 city budget is approximately $4,276,000, up more than $600,000 from last year’s $3.6 million budget. The new tax rate, 94.5 cents per $100 of assessed property value, translates to a $1,030 local purpose tax bill for the owner of a home assessed at this year’s average, $109,000.
A public hearing on the budget will be held at 8 p.m. June 10 in the municipal hall at 324 Farnsworth Ave.