BUDGET MESSAGE FROM MAYOR FRIED
The 2010 Township budget has certainly been a challenge. Tax Appeals totaling upwards of three million dollars in 2009 and 2010 have created an increase in the tax rate. It is important to note that all of the money from the tax rate increase is being returned directly to taxpayers as a result of the appeals. Essentially the entirety of the tax rate increase is due to the tax appeals stemming from the imposed revaluation of the Township at the height of the real estate market. The overall assessed value of the Township has dropped $107 million.
There is no spending increase in the Township, and in fact there is a significant decrease in spending. The net reduction in spending is approximately $600,000 for 2010. I instituted over a million dollars in cuts including reducing the cost of health care for Township employees, something practically unheard of these days, lay-offs, furloughs every Friday, cuts in management pay, consolidation of positions, a pay freeze in the police department, and cancelling planned spending in 2009. The Township faced fixed costs increases from pension payments imposed by the state, higher trash disposal fees, social security, workman’s compensation, and other contractual increases.
When you factor in the fixed cost increases with the cuts made, you get the significant net decrease in spending of approximately $600,000. The tax rate increase is by no means due to increased spending it is a direct result of the tax appeals.
