Crest Residents Speak On Proposed Tax Increase

WILDWOOD CREST — “We’re glad that you came out and took an interest,” Commissioner Joyce Gould told a room full of borough residents during an April 2 budget hearing. “Normally we don’t get anybody.”
Interest in borough business has certainly peaked, especially when you’re talking about impacting residents’ wallets. Especially since taxpayers would be facing an expected 3.9-cent local tax increase under the borough’s $18.2-million spending plan.
The local tax rate will increase from 63.2 cents per $100 of assessed property value, to 67.1 cents. The local tax levy will be $10.2 million — that’s a hike from last year’s $9.2 million.
This year the borough anticipates a $1.35 million surplus, compared with $1.37 million in 2007.
Borough Chief Financial Officer Steve Ritchie attributed the hike in the local tax rate to the rising cost of operating expenses, pension contributions and contractual salary increases.
“No one here at this table had anything to do with those raises,” Ritchie said, gesturing to the commissioners.
Ritchie explained that in 2001 the state legislature declared a “holiday”, mandating municipal employers not to make contributions for pensions and called it property tax relief. He said the borough challenged the decision because “we knew that it would come back to get us.”
His prediction was correct. This year the police and fire pensions will be fully funded and non-uniform employees will be at 80 percent, he said.
That leaves the borough contributing $482,982 to pension funds this year. That number is up from $299,000 in pension funds in 2007.
In addition, the borough spends slightly less than $2 million on health insurance.
Borough Administrator Kevin Yecco said the borough intends to negotiate employees sharing insurance costs at the next opportunity.
Resident Bob Young commented that it was “scary times” in Wild-wood Crest.
“With everything going up, it seems that we could do a little more to lessen the increase on the people,” Young said. “We could stand to be a little more conservative.”
Another resident echoed the sentiment that the borough could stand to cut a little more from the budget.
“Everything is going up. Things are high in my own home, but that’s when I decide to cut out something or delay buying it,” she said. “Do we really need the new park at Rambler Road or do we really need another piece of equipment?”
“I can’t make those decisions,” she said. “You people have to.”
Mayor Carl Groon responded that the borough has distinguished between priorities and projects that can be delayed on a “wish list.” However some spending obligations that couldn’t be put off include repair and maintenance of borough streets, such as the town pool and lifeguard headquarters.
“At some point we have to address things that need to be fixed,” Groon said. “Seaview Avenue is a great example.”
The 2008 spending plan also reflects how the borough redistributed employees, said Commissioner Don Cabrera.
“We have multi-million dollar buildings, like the community pool, that we put money into but we didn’t have full time people there to take care of it,” said Cabrera. “That’s why we moved people from one department to another.”
The spending plan was put off being formally adopted until the com-mission reviews a few budget amendments to the original numbers. Those changes include the Rambler Road Park project and a new telephone system that will be discussed at a special meeting April 10 at 3:30 p.m.
Contact Suit at: (609) 886-8600 ext. 25 or lsuit@cmcherald.com