FREEHOLD TOWNSHIP – The Township Committee has adopted a $42.66 million budget to fund the operation of Freehold Township this year. The budget was adopted by committee members on April 28.
The $42.66 million budget will be supported by the collection of $22.56 million in taxes from residential and commercial property owners. Other revenue includes $7.44 million in state aid.
Freehold Township’s 2019 budget totaled $41.6 million and was supported by the collection of $21.5 million in taxes from property owners. Other revenue included $7.44 million in state aid, which has been flat for eight years.
In 2019, the municipal tax rate was 33.2 cents per $100 of assessed valuation. The average home in the township was assessed at $420,287. The owner of that home paid $1,395 in municipal taxes.
In 2020, the municipal tax rate is projected to be 33.6 cents per $100 of assessed valuation. The average home assessment is now estimated to be $426,464. The owner of that home will pay $1,433 in municipal taxes.
Municipal taxes are one item on a property owner’s tax bill, which also includes Freehold Township K-8 School District taxes, Freehold Regional High School District taxes, Monmouth County taxes and a fire district tax.
Individuals pay more or less in taxes depending on the assessed value of their home and/or property and the tax rate that is set by each taxing entity.
Selected appropriations in the 2020 municipal budget include the following line items: group health insurance for employees, $6.56 million; police, salaries and wages, $9.37 million; school security detail, salaries and wages, $108,000; police, other expenses, $652,700; streets and roads maintenance, salaries and wages, $1.12 million; payment to Public Employees Retirement System, $785,506; payment to Social Security System, $1.14 million; payment to Police and Firemen’s Retirement System of New Jersey, $2.14 million.
After the budget was adopted, Mayor Lester Preston said, “The COVID-19 pandemic has had a profound effect on the economy and the impact will certainly be felt in this year’s budget.
“Our budget reflects decreases of approximately $250,000 in revenue adjustments that will be only a small portion of the lost revenue from the necessary and important federal and state directives related to business closings, social distancing and self-quarantine.
“Those (lost revenues) include court fines, construction fees, Planning Board permits, hotel/motel fees, grants and other funding sources.
“This budget reflects a 1.7% increase in operating wages in anticipation of cross-training due to planned retirements and a 3.6% increase in budgeted operating expenses. Anticipated operating costs for police vehicles, insurance and recycling total $249,000, which represents 55% of the increase.
“We continue to identify shared service opportunities with other municipalities, which we anticipate will generate approximately $1 million in revenues.
“Historically, we have always employed conservative budget practices and, when combined with our strong surplus management policies, we were able to minimize the corresponding tax increase in this budget during a particularly challenging time,” Preston said.