Stone Harbor Unveils $24.2-Million Budget

STONE HARBOR – Stone Harbor Borough Council’s March 21 meeting provided residents with an overview of the $24.2-million budget for 2017. 
The budget, if approved April 1, would require $10.9 million to be raised for municipal purposes. The school budget would add $2.4 million, county tax would add $8.6 million, library would add $1.2 million, and county Open Space adds $400,416.
The “user friendly” version of the budget as well as the budget presentation are available on the municipal website under Departments, Finance.
A decision by U.S. Fish and Wildlife Service prevented federal funds from being used to take sand from Stone Harbor’s traditional borrow area in Hereford Inlet.
That meant the borough had to unexpectedly contribute $1.5 million to its beach replenishment project this year.
Additionally, the expenses associated with the dredging effort in the back bay, which dealt with a decade of accumulated debris from the last dredge project, had an impact on the budget.
Council President Karen Lane cited those two issues as the major causes for a half-cent increase in the local tax rate which moved to $.244 cents from $.239 per $100 of assessed value.
The borough’s overall operating budget increased by $2.7 million from 2016.
Lane was quick to remind property owners that the local purpose tax represents a minority share of their tax bills since county and school-related taxes comprise 55 percent of the overall total.
In addition to the operating budget, the borough previously introduced a Water and Sewer Utility budget that calls for total appropriations of $3.9 million driven largely by infrastructure improvements and a 27 percent increase in the county Municipal Utilities Authority charge. 
A decision to raise water and sewer fees in 2017, 2018, and 2021 was previously approved by the council when it adopted two ordinances on the rates in December.
Borough Administrator Jill Gougher said that the borough has the fifth lowest local purpose tax rate in the county. She added, the borough also has the lowest combined tax rate when county and school taxes are added.
The borough lists its ratables at almost $4.5 billion, up $18 million from 2016. Neighboring Avalon lists it ratables for 2017 at $7.5 billion, giving the Seven Mile Island a total for property assessed value at $12 billion.
In an effort to minimize the tax rate increase for property owners, the borough utilized $1.5 million in surplus in the 2017 budget representing a 57 percent utilization rate.
Salaries and wages, always a closely watched area of any municipal budget, rose only 2.6 percent or $133,096.
The principle portion of the outstanding debt was reported as $15.5 million for the general borough obligations and $10.5 million for the Water and Sewer Utility. Capital improvements in 2017 will include the start of construction for the new public safety building which Lane said will probably begin in the fall.
OK Trees for Removal
Despite pleas from some Avalon residents, the council voted 5-1 to accept a plan to have 37 Japanese black pine trees removed from the dunes along 115th to 118th streets.
Davies-Dunhour said that the decision was not taken in haste. “This has been studied,” she assured residents.
Davies-Dunhour noted that the removal of the non-native species of tree was incorporated into the borough’s approved Dune Vegetation Management Plan.
That plan also allowed for a process through which property owners, at their expense, could present the council with an application to remove trees from dunes along their properties.
To contact Vince Conti, email vconti@cmcherald.com.