CAPE MAY – Cape May City Council adopted its 2016 budget at its March 15 meeting. The current fund budget allows for $17.4 million in appropriations of which a little less than $9.5 million is anticipated from the local tax levy. The budget calls for zero increase in the local property tax.
The city’s three self-liquidating utilities saw budget levels of $6.9 million for water and sewer, $2.4 million for the beach utility, and $1.15 million for the tourism utility. Residents will see no increase in the water and sewer fees.
Responding to a question from Jerry Gaffney, City Manager Bruce MacLeod said that 2015 had been a very good year for city revenues. Mayor Edward Mahaney explained that a longer summer season and largely excellent weather help boost fees from items including parking meters and occupancy taxes.
The result in 2015 was a larger surplus, $3.9 million. Use of 2.2 million of that surplus for 2016 helped keep the tax rate steady.
Gaffney asked if council would consider a slight decrease in the tax rate. Gaffney said he participated in lowering a municipal tax rate once when he served on the governing body of Medford Lakes. Mahaney replied that such a move would not be prudent in light of the many uncertainties that can face a city like Cape May.
Gaffney also asked if council thought the $445,000 appropriated for legal fees was too low considering the open lawsuit the city faces in its controversy with Capt. Robert Sheehan.
He was assured the city felt the amount appropriate and that the lawsuit was being defended by the Joint Insurance Fund. Mahaney added that the city’s deductible in that suit would be $20,000.
The largest capital expenditure previewed is an anticipated $10 million expense for improvements to the seawall to increase protection provided to vulnerable areas of East Cape May.
The city also followed the general pattern of county municipalities and established a CAP bank for future use if events should dictate a need to appropriate funds that otherwise would run against the state mandated 2 percent cap on tax increases.
One concern raised had to do with the tourism utility. The budget of that utility contains the operating expenses associated with the operation of Convention Hall but it does not contain either the debt service on bonds for its construction or legal expenses involved in the long-running litigation regarding its elevation.
Mahaney responded to a question by explaining that the construction of the facility pre-dated the tourism utility and that the debt service and any litigation related to construction properly belong where they are. He stated that the tourism utility was another action by city government to remove the burden of the operations of the facility from the backs of taxpayers.
Details of the adopted 2016 budget are available on the city’s website.
Beach Safety
Responding to concerns raised in a previous meeting regarding beach safety measures for the upcoming season, MacLeod reviewed steps the city has already taken. He spoke of the city’s beach safety brochure which he said explains the beach flag system, provides safety tips concerning shore break that plagues the beaches, and educates beach goers on dangers of rip tides.
The brochure is provided to beach users in a number of different ways including when beach tags are purchased.
MacLeod showed a picture of the large signs placed at beach entrance points that warn users of the shore break and rip tides.
He added that a third sign would be developed to include a number of the safety points enumerated in the brochure, including those highlighted in a recent letter from the city Taxpayers Association.
Speaking of developing “some form of infomercial” for the local cable TV channel, MacLeod also said the city welcomed new ideas for how to best educate beach goers about best practices for beach safety.
Dennis DeSatnick, a proponent of beach safety in Cape May, thanked MacLeod for the efforts he described but also pressed council to call a meeting of the committee formed to look into beach safety issues.
With the summer quickly approaching, DeSatnick said “We need a meeting of that committee sooner rather than later.”
The city is still looking into ways in which partnership with the state Department of Environmental Protection and the Army Corps of Engineers might result in some form of alteration to the beach slope to mitigate the occurrences of dangerous plunging waves often responsible for injuries.
To contact Vince Conti, email vconti@cmcherald.com.
Sea Isle City – I miss the Nativity scene they used to display outside the historic St. Joseph’s church on Landis Avenue! It was a true reminder of the reason for the season!
