Fees up, no change in taxes

By AUBRIE GEORGE | The Moorestown Sun

Property taxes in Moorestown will remain flat under the 2010 budget, but residents and business owners will pay slightly more in water and sewer fees.

Last week, Council introduced a $22.8 million municipal budget that keeps the municipal tax rate flat; meaning residents in the average assessed home will pay about $1,756 in municipal taxes this year.

Township Manager Chris Schultz said the budget represents a $747,738, or 3.17 percent, reduction from last year. The budget includes a $550,000 loss in state aid and includes no deferred school taxes, Schultz said.

After discussing a possible tax decrease, Council opted to keep the tax rate flat in order to protect against outstanding tax appeals that could hurt next year’s budget.

Before last week’s meeting, Council had asked Schultz to look at reducing an additional $100,000 in operational costs from the budget, which Schultz said, came from expense cuts in various township departments.

Council had also asked Schultz to look for $150,000 additional savings in labor costs. To realize the savings, Schultz said some currently vacant positions would not be filled, hours for clerical workers could be cut, and two positions could possibly be eliminated in the public works department.

Schultz said he is currently in talks with the township’s clerical and public works unions in hopes to secure concessions in pay and benefits, much like those taken in the agreement with the police union that Council approved last month.

Mayor Dan Roccato said the township was in a position similar to the one a lot of households in Moorestown are in.

“Revenue is down, expenses are up,” he said. “Just like you we need to be more creative, tighter, and we need to make sure we’re spending every dollar wisely.”

The budget is scheduled for a public hearing and final adoption on July 12.

While Council was able to keep taxes flat, water and sewer fees may go up beginning Aug. 1.

Council introduced an ordinance last week that raises rates about $20 per month for residents and $50 per month for businesses in Moorestown.

Since the preliminary budget was introduced, Council had been looking for ways to close an approximate $600,000 hole in the utility budget caused by a wet year, the state of the economy and the cost to purchase water from the New Jersey American Water Company, which the township is required to do by law.

The ordinance is up for public hearing and final adoption on June 28.