Council working to keep municipal tax rate stable
Howell officials acknowledge tough financial times
BY TOYNETT HALL Staff Writer

HOWELL - Township officials are working to develop a budget for 2008 that will not raise the municipal tax rate. The budget was discussed by members of the Township Council during an April 9 meeting.

At that time,members of the governing body indicated that it is their goal to hold themunicipal tax rate steady at 26.6 cents per $100 of assessed valuation for 2008.

With a municipal tax rate of 26.6 cents per $100 of assessed valuation in place, the owner of a home assessed at the township average of $355,000 will continue to pay about $944 in municipal taxes in 2008. The owner of a home assessed at $500,000 will continue to pay about $1,330 in municipal taxes in 2008.

Municipal taxes are one part of the property tax bill, which also includes Howell K-8 School District taxes, Freehold Regional High School District taxes, Monmouth County taxes and several other assessments. Increases in any or all of those tax rates could cause a property owner's overall property tax bill to increase.

The council expects to introduce the 2008 municipal budget on May 6.

The 2007 municipal budget totaled $44.8 million. The 2006 municipal budget totaled $40.5 million.

According to the proposed 2008 budget prepared by Township Manager Helene Schlegel and Chief Financial Officer Jeffrey Filiatreault, the anticipated 2008 operating expenses (salaries and wages) are $21.5 million, other operating expenses are $23.6 million, and debt service is $3.6 million.

Officials said these numbers are subject to change prior to the May 6 introduction of the budget.

Schlegel said there may be cuts that affect municipal services.

"However," she said, "I am working on how we are going to operationalize and how any cuts will impact departments and services."

According to a summary of appropriations, some departments will see an increase in 2008.

For example, the total police appropriation for 2008 is shown as $11.3 million. That is up $840,000 from the 2007 approved amount. There will be two officers added to the department. For the Department of Senior Citizens, appropriations have been made for $316,195, up about $70,000 from the 2007 approved amount. Parks and Recreation funding remains stable at about $1.2 million.

In comments on the budget, Councilwoman Cynthia Schomaker said, "The present economic climate is not good. The taxpayers of Howell balance the budget on their backs. We are splitting hairs. We need to keep the tax rate at no increase."

Deputy Mayor Michael Howell agreed and said officials need to find other ways to increase revenue.

Mayor Joseph DiBella said, "We have a revenue problem, not a spending problem. We are in a financial crisis. It's real. We must be conscious of our customers and the people who pay the bills."

DiBella asked residents to "stick it out."

"It will get better. Residents must be tolerant.We must come together.We need to rise to the occasion. We have no other choice," the mayor said.

The township officials reiterated that more work will be done in the coming weeks in order to reduce the amount of the budget that was discussed at the April 9 meeting.

The council plans to introduce the 2008 budget on May 6 and to adopt it June 10.