Stone Harbor Proposed Budget Would Bring 1.2-Cent Rate Hike

STONE HARBOR — It will cost $12.3 million to operate this borough through Dec. 31, if the budget, previewed to the public March 2, is adopted April 20.
Borough Council will introduce the proposed spending plan, which calls for $8.9 million to be raised through taxes. The 2009 tax rate of 19 cents per $100 of assessed value to 20.2 cents, up by 1.2 cents. This would translate to an increase of $120 to the owner of a home valued at $1 million.
As pointed out by Administrator Kenneth Hawk, the average assessed value in the borough if $1,438,291. Thus, the increase in tax would be $172 to such an owner.
No increase is proposed in the water and sewer rates, which the municipality controls.
Councilwoman Joanne Vaul, chair of the Administration and Finance Committee, made the budget presentation.
Vaul noted the preparation was “thoughtful” throughout, and represented a “collaborative process.”
“We considered the impact on taxpayers and individuals,” she said.
She said council had not “rubber stamped what was requested.”
Vaul also pointed out that the only portion of taxes council controls is the 41 percent deemed “local purpose.”
The county share represents nearly 48 percent, and the school district, about 11 percent of the total.
Last year, borough taxpayers paid over $9.7 million to the county, and $1.4 million to the county Library System.
Of the library portion, Vaul said, “We are hoping the governor gets things moving. We have the right to have some return on that $1.4 million.
She noted that, while most employees received a 3 percent salary increase, mayor and council did not increase their salaries.
Like other governmental agencies and private business, Vaul said the borough experienced a 20 percent increase in health care premiums.
While asking employees to pay more of their healthcare costs could make a difference, Vaul noted, “Our hands are tied because of existing union contracts negotiated years ago.” Those include police and public works, she said.
A new Tourism Department was added to the municipality, with a resultant $46,275 shift to establish it, she said.
A question arose from the public that other councils were foregoing their health benefits, would this council follow suit.
“We can certainly talk about it,” said Vaul.
Administration and Finance’s budget is $2.8 million.
Councilman Thomas Cope presented Public Safety Committee’s $2.4 million budget. Police salary and wages $1.7 million, Rescue Squad $85,000, Courts, $176,647, Uniform Fire Code, $104,450, Fire Department, $204,300, Other, $17,709.
Cope noted that in the police department, bargaining unit members got a 3.7 percent salary increase. However, due to retirement of an employee, and replacement at entry level, the overall impact was 2.2 percent, Cope said.
A $1,000 departmental increase for ammunition was also noted, “Not because we have a lot of crime, but became all officers must be proficient, and attend the range on a regular basis. The cost of metal has gone up,” said Cope.
He said the Uniform Fire Code office anticipated its revenues to offset wages.
Councilman Barry Mastrangelo presented Public Works Committee’s $1.8 million budget.
“It’s very labor intensive,” he said, adding that 76 percent of the budget goes for salary and wages. The labor pool accounts for $800,000.
An opening occurred late last year, and Mastrangelo said the position remains unfilled.
“We will see how we can do without it,” he added.
He also said that some funds might return to the borough from federal or state government for overtime because of the snowstorm.
Councilman Randall Bauer presented Natural Resources Committee’s $37,700 budget. With no staff, and thus no salaries, funds are “for services.”
Animal control accounts for $19,720. That was a “spike” over last year, due to an interlocal services agreement with Avalon and the county.
Councilwoman Judith Davies-Dunhour presented Beach, Recreation and Tourism’s $968,000 budget.
The majority, $621,714 is slated for beach patrol salary and wages for 58 guards.
Recreation plans to hire 28 summer employees for programs and at the recreation field, and two new employees.
The borough no longer contributes $7,000 to the Chamber of Commerce.
She noted that the borough would gain from recreation programs operated by private firms because the contracts call for the municipality to get 20 percent of revenue.
Councilwoman Joan Kramar presented the Utility Fund’s $2.7 budget.
“There are not many major changes,” she said.
She noted $196,147 in surplus would be used from $266,852 available in order to keep rates unchanged.