STONE HARBOR – The Borough Council has adopted a $23 million general fund budget for 2025 that increases the local purpose tax rate by 7.2%.

The tax rate under the new budget, approved May 20, will rise by 2.2 cents, from $0.3120 to $0.3345. The council also adopted a separate Water and Sewer Utility budget for $5.8 million.

The movement of certain indirect expenses from the general fund to the Water and Sewer Utility additionally requires a $125 increased payment for the remaining three quarters of 2025. A new water and sewer billing format will be established in 2026.

A primary task for Stone Harbor officials in the 2025 budget process was to bring the budget within the state appropriation cap limit without requesting a waiver from the state. As far back as August, then-new Chief Financial Officer Cynthia Lindsay and external auditor Michael Garcia reported to the governing body on the difficulties facing this year’s budget process.

Through expense reductions and a series of steps that moved certain expenses out of the general fund budget and, importantly, out of the cap calculation, the borough was able to craft a 2025 budget that did not require special treatment by the state.

Contact the reporter, Vince Conti, at vconti@cmcherald.com.