By John Saccenti, Staff Writer
WEST WINDSOR The Township Council is considering a $37.14 million 2010 budget that includes the elimination of three full-time positions as a way to compensate for a steep decrease in state aid.
Township Administrator Robert Hary submitted a 2010 spending plan to council members that is $626,000, or 1.71 percent, less than last year’s $36.514 million budget.
However, a decrease in revenues, most notably in the state aid category, could mean an increase in municipal taxes. According to a budget summary provided by Mr. Hary, the proposed municipal tax rate is estimated to be 35.7 cents, a 2.6-cent increase from 2009. Under that rate, the owner of a home assessed at the township average of $534,782 can expect to pay $1,909 in municipal taxes for 2010.
According to the summary, the salaries and wages portion of the budget is up $53,538, from $12.364 million to $12.417 million.
The “other expenses” portion of the budget includes fixed costs such as $248,564 from the Stonybrook Regional Sewage Authority, a $150,547 increase in pension contributions and a $608,704 increase in debt service. These fixed increases resulted in the need to have department heads reduce the other expense portion of their operating budgets to below 2009 levels, according to the summary. In total, the other expenses portion will be $17.347 million, down from $17.381 for 2009.
Capital expenditures will remain the same, $225,000, according to the summary. Capital expenditures includes road and sewer repairs, equipment/vehicle acquisition and replacement and facilities/property/park improvements.
Debt service will be $5.344 million, up $608,704 from $4.735 million in 2009 and the reserve for uncollected taxes will decrease slightly, to $1.805 million from $1.806 million in 2009.
According to the summary, a loss in revenue has presented Mayor Shing-Fu Hsueh with “the biggest challenge in the formulation of the 2010 municipal budget.”
Revenue such as interest income is down $679,500 and hotel occupancy tax revenues are down $85,000.
Revenue for 2010 also includes $2.193 million in state aid, down $617,509 from the $2.811 million the township received last year; $3.869 million in miscellaneous revenues; $4.4 million from fund balance; and $3.968 million in sewer service, leaving $21.778 million to be raised through taxes, a $1.197 million, or 5.8 percent increase, in the tax levy. To stay under the 4 percent tax levy cap, “it was necessary to use an additional $200,000 in fund balance over last year,” according to the summary.
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