By Lea Kahn, Staff Writer
Municipal Manager Richard Krawczun presented the proposed 2009 municipal budget to Township Council Tuesday night, accompanied by a six-page budget message that warned of possible layoffs in several municipal departments.
At the same time that layoffs are looming, the proposed $40.8 million spending plan calls for a 3-cent hike in the municipal property tax rate — from 71 cents per $100 of assessed value to 74 cents, or about a 4 percent tax rate hike. The budget increased from $39.8 million in 2008.
The tax rate increase means the owner of a house assessed at the township average of $164,581 would pay an additional $49.37 in municipal property taxes — $1,217.89 for 2009, as compared to $1,168.52 last year.
Township Council agreed to begin its formal review of the proposed 2009 budget at its Feb. 3 meeting. The 7 p.m. meeting will be held in the Township Council meeting room at the Municipal Building.
In his budget message, Mr. Krawczun wrote that the proposed budget anticipates the possibility of layoffs — “subject to state Department of Personnel approval” — in the Police Department, the Health Department, the tax collector’s office, the building construction office, the Engineering Division and the Municipal Court.
The labor unions were asked to consider whether their bargaining units would reopen their existing contracts to find “mutually collaborative alternatives to workforce reductions,” Mr. Krawczun wrote, but the labor unions declined.
“As always when preparing the recommended budget, we remained focused on the efficient and effective delivery of services at a level Lawrence Township residents deserve,” Mr. Krawczun wrote.
“Nevertheless, it has become necessary to forgo some of these same levels of service that have been experienced in the past,” he wrote. In order to bring the budget into balance, several changes were necessary — in addition to the possibility of layoffs.
Mr. Krawczun listed several changes, beginning with a reduction in the operating budgets of municipal departments, implementation of a hiring freeze, elimination of seasonal positions in the divisions of Park Maintenance and Streets and Roads, and a wage freeze for all summer recreation program employees.
“These reductions will result in changes to service,” he wrote. “The budget cuts outlined have not taken into consideration a reduction of state aid. Any reduction of state aid will require further elimination of budget appropriations.”
Much of the increased spending in the budget is attributable to increases in salaries, health benefits, trash collection and the full phase-in of municipal contributions to the pension system for township employees, Mr. Krawczun wrote.
The manager wrote that a decline in the taxable value of township properties contributed to the increase in the municipal tax rate. The taxable value is $2.68 billion for 2009, as compared to $2.69 billion last year.
The decrease in the overall taxable value “places upward pressure on the tax rate as there are no new tax revenues to help offset” the increased costs of municipal operations, the municipal manager wrote.
When Mr. Krawczun finished reading the budget message, Mayor Pam Mount’s summed up her reaction in one word.
“Sobering,” Mayor Mount said.
The mayor said she would like to hear from the department heads about the changes and how they may affect residents. She suggested that the council members should take home the proposed budget and review it before the Feb. 3 meeting.
“That’s a great way to proceed,” Mr. Bostock said. “The school board has put us in a tough spot. They are not going to raise taxes. Richard has a sharp pencil and he really knows how to cut fat out of the budget.”
Mr. Powers said this is “really frustrating.” There are many variables “floating out there,” he said, adding that without knowing how much state aid the township may receive, “it’s sort of like flying blind.”

