Tax hike put at 5.5 cents
By: Kara Fitzpatrick
The Princeton Township Committee late Monday night unanimously approved a $30.9 million spending plan for 2006 that will see the tax rate increase by 5.5 cents per $100 of assessed value.
Under the approved budget, the owner of a home assessed at the township average of $424,079 will pay $3,138 in municipal taxes up $238 from last year. The 2006 budget which represents a $1.1 million increase from the previous budget will result in a tax-rate hike to 74 cents per $100 of assessed value, up from 68.5 cents last year.
According to Township Administrator Jim Pascale, increases in the budget are reflected in salaries and pensions, affordable-housing spending and energy costs. New revenues in the budget included two grants totaling about $60,000 for Corner House, which will be used to offset program costs.
The budget approval was prefaced by a three-hour work session held to determine spending plans for the public library and the Health Department. The work session was held after budgets for the two joint agencies were not decided upon during last week’s hearings of the Township Committee and Borough Council.
During the work session, the Township Committee approved increasing the library’s operating expenditures by $100,000, contingent on the Borough Council matching the funds by its share of $45,000. However, the increase in library funds will be extracted from funds that already exist in the budget Mayor Phyllis Marchand suggested altering the township’s agreement with the borough regarding free library parking and will not result in an increase in the budget that was introduced in April.
The additional funds fall about $100,000 short of the library’s $3.5 million budget request. Library Director Leslie Burger said the lack of funds would undercut the book purchasing budget.
Mayor Marchand said it was unfortunate that the library did not receive its requested funding, but added the township’s taxpayers, as well as every municipal department, are feeling squeezed.
"I would like to just give the library everything that they want," Mayor Marchand said, "but I don’t think that we can."
Committeewoman Vicky Bergman agreed that there is a limit to what taxpayers can afford and that discretion must be observed when considering all departments.
"We can’t give anybody what we haven’t got," Ms. Bergman said. "I think we’re all trying the best that we can to give the library all we can."
Committeeman Bernie Miller, however, said the evening’s proceedings were disturbing. "We are punishing an institution because it is successful," he said.
Ms. Burger warned that the lack of money would be a detriment to the library and the community overall.
"I feel like we’re being penalized, as well as all of the people who use the library," she said.
The Township Committee approved the budget for the Health Department that was recommended by the municipal administrators. Monies for public health nursing services for communicable diseases and a health educator were freed up after Borough Administrator Robert Bruschi recommended and the Township Committee approved moving $11,000 from the department’s budget into a trust fund for flu vaccine. The funds for the vaccine will be taken from other areas of the budget and, in the years to come, the program will become nearly self-funding,
"The money will be recouped through insurance in the future," Mayor Marchand said.
Health Commission Chairwoman Susan Kapoor thanked the Township Committee for approving the changes, calling the vaccine trust fund "a permanent solution to an ongoing issue."
According to the budget, public safety and debt service are the largest spending areas, each requiring about 18 percent of the total 2006 budget. Health and human services spending comprises about 15 percent of the budget and funds for parks and recreation and library services represent about 12 percent.
Other appropriations include: a statutory employee benefits allocation of 10 percent of the budget; an administration, finance and court allotment of 10 percent; and a 9-percent allocation to public works. Land use and other programs will account for the final 8 percent.
The spending plan includes the use of $3.15 million of surplus, which is $365,000 less than was used last year. If the fiscal future unfolds as expected, the township will have about $1.07 million in surplus remaining. Mr. Pascale said the budget was intentionally crafted to use less surplus in order to halt a downward trend. In last year’s budget, the township used $3.52 million in surplus and was left with a fund balance of $831,335 as a result.