County Tax Rate Likely to Increase to 16 Cents

CREST HAVEN — On Feb. 10, Cape May County freeholders are set to introduce this year’s $139.7-million county budget.
That budget is up about $3.7 million, or about 2.7 percent over the 2008 version..
All numbers are tentative, according to county Treasurer Edmund Grant, but it seems likely that the new county tax rate will be just over 16 cents per $100 of assessed value, up a penny over the previous year.
Revenue is down about $2.1 million this year, to $51,1 million compared with last year’s $53.2 million, about 3.95 percent, according to Grant’s figures.
The national economic downturn, mired in red ink from Trenton to Washington, D.C., Wall Street to Main Street, is the reason for the likely tax hike.
Hefty revenues from real estate transfers and new construction that bolstered ratables were, in the early years in the new century, a way to fund government with relatively little tax pain.
When real estate sales dwindled, so did transfer revenue, and that, Grant told freeholders at a Friday, Jan. 23 budget workshop, attended by many county department heads, meant a shortfall of about $4.5 million to county coffers.
Each department head was asked to produce a budget that was austere, while providing the same services as in the past. Most did it, to Grant’s amazement and the freeholders’ pleasure.
The number of county employees is down slightly, and few, if any, will be added. Last year’s total was 1,133 compared to the present 1,126.
See the Herald’s Wednesday print edition for complete story.