Proposed Englishtown 2012 Budget Calls for 6.3 Cent Tax Increase

Last night, the Englishtown Mayor and Council held a Special Meeting to discuss the 2012 Municipal Budget, which is calling for a tax increase of 6.3 cents. The budget represents an increase in spending of $81,344 and a reduction of revenue by $64,159.

Not all variables were included in this proposed budget, Borough Administrator Laurie Finger explained, and the tax increase will likely diminish before the budget is introduced and approved by the council. For instance, revenue from the fire district budget of $10,000 will be coming to the Borough, but its not yet included in this budget; once that $10,000 is accounted for the tax increase will be approximately 5.8 cents.

In composing this budget, Finger used almost $100,000 to get to the levy cap and advised the council that there is no cap bank left for Englishtown. “This will obviously effect our 2013 budget because we cannot operate on a 2 percent increase of approximately $20,000,” Finger said.

This budget also does not include any school tax deferral, but if the Borough has to defer school taxes only $79,000 is allowable. Finger said that Englishtown is very close to the 100 percent of the 50 percent that the Borough is allowed to defer, which she said “is not a good place to be.”

The current fund surplus balance is $305,000, which is $38,000 less than 2011. Finger said that $265,000 of that surplus is being utilized, leaving a balance of about $40,000 available for any emergencies (approximately the same balance left over in 2011).


The expenses in the budget that have led to a tax increase include:

• Computer/IT: All computers in the police department and administration department had to be replaced, which cost $7,500.
• $3,100 was allocated for Englishtown’s COAH Rehab, which the Borough is under contract for with Monmouth County. Next year Finger said that $25,000 will have to be budgeted for COAH next year.
• The streets and roads budget increased $1,200 due to vehicle repair for an old 1989 Ford Dump Truck that the Borough utilizes
• Municipal court money increased a little bit due to temporary help being hired.
• The new garbage contract contributed to increasing that budget line item by $10,000 and recycling by $2,000. This increase also had to do with Elon Associates becoming a part of the garbage and recycling contract, the company who constructed the COAH housing units.
• Police dispatch increased by $4,000 due to an increase in calls.
• $13,000 in damage from Hurricane Irene last year has been budgeted.
• Police salaries have increased by $80,000
• DPW increased slightly due to a certified public works manager and an additional part-time employee.
• Debt service increased by $10,000

Also included in this budget is Gov. Christie’s pension reduction. The state lowered all rates for municipalities across the state and Englishtown will see a pension reduction of $42,000.

In terms of revenue, there is no sewer surplus available for 2012, and all miscellaneous revenues equal only about $4,500. On a positive note for the Borough, court revenues have increased by about $51,000.

In order to reduce the tax increase, the council has control over several aspects of the budget: hiring an additional police officer, hiring an additional special law enforcement officer (part-time position), and declining the proposed 2 percent raises for all employees (which is currently accounted for in the proposed budget, a total of $4,000). The hiring of an additional police officer and special officer has been recommended and asked for by the Police Department, but the Council has the ability to deny that request if they feel the need for it is not legitimate.

At last night’s meeting, the council was not supplied with numbers indicating what type of revenue the special officers and full-time police officers are bringing in through the courts. Therefore, the council decided that before they can introduce a budget they need to reevaluate what is effective police work - would hiring an additional special and full-time police officer lead to more revenue for the town or less? If additional officers are not hired, would the effect on overtime then equate to the same amount as hiring, etc.?

Finger has been advised by the Mayor and Council to compile all information regarding each individual police officer and the court revenues they brought in last year. The Mayor and Council will reconvene at another Special Meeting next Monday, March 12 at 6:30 p.m. to further discuss the revenue information and therefore make an informed decision on what aspects of the budget to cut.

The budget will officially be introduced on March 28 and the public hearing and adoption of the budget will take place on April 25; both meetings will be held at the at 6:30 p.m.