WHERE DO OUR TAXES GO?

WHERE DO OUR WHERE DO OUR TAXES GO?TAXES GO?Presented by Presented by

Mayor DavidMayor David

ScapicchioScapicchio

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO?

Members of the Township Finance Members of the Township Finance Committee:Committee:– Steve Rattner, Township CouncilSteve Rattner, Township Council– Russ Tepper, Township CouncilRuss Tepper, Township Council– Roy Hansel, ResidentRoy Hansel, Resident

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? Members of Council:Members of Council:

– Ray Perkins, Council PresidentRay Perkins, Council President– Phil Tobey, Council Vice-PresidentPhil Tobey, Council Vice-President– Rob GreenbaumRob Greenbaum– Colleen LabowColleen Labow– Steve RattnerSteve Rattner– Alex RomanAlex Roman– Russ TepperRuss Tepper

Bill Sohl, Township AdministratorBill Sohl, Township Administrator Sherry Jenkins, Chief Financial OfficerSherry Jenkins, Chief Financial Officer


County10%

Schools68%

Municipal - Discretionary

5% Municipal - Fixed17%

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? The average property tax bill in 2007 for Mt. Olive The average property tax bill in 2007 for Mt. Olive

Township was approximately $8,161 ($199,000 Township was approximately $8,161 ($199,000 average assessment)average assessment)

Of that, $1,831 or about 22% went to the Of that, $1,831 or about 22% went to the Township for municipal servicesTownship for municipal services

The remainder – $6,330 – went to the schools The remainder – $6,330 – went to the schools ($5,463) and the County ($867)($5,463) and the County ($867)

This breakdown is fairly typical for municipalities This breakdown is fairly typical for municipalities in New Jerseyin New Jersey


What does the average property What does the average property owner get for $1,831 per year?owner get for $1,831 per year?

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? Professionally trained firefighters and police at Professionally trained firefighters and police at

your call 24/7 protecting you and your familyyour call 24/7 protecting you and your family

Weekly garbage and recyclable pickup for your Weekly garbage and recyclable pickup for your householdhousehold

Operation, maintenance and upkeep of parks, Operation, maintenance and upkeep of parks, playgrounds and recreation programs for you and playgrounds and recreation programs for you and your family to enjoyyour family to enjoy

Operation and maintenance of the municipal Operation and maintenance of the municipal beach and lake to enjoy beach and lake to enjoy

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? A public library system for enjoyment and A public library system for enjoyment and

educational enrichmenteducational enrichment

Health officials and inspectors who make sure Health officials and inspectors who make sure that the restaurants you eat at are sanitary and that the restaurants you eat at are sanitary and cleanclean

Cleaning, maintenance and repair of public Cleaning, maintenance and repair of public streets streets

Monitoring of development and home Monitoring of development and home improvements to ensure work is done in improvements to ensure work is done in accordance with all building codesaccordance with all building codes


How do those services make up your How do those services make up your overall municipal tax bill?overall municipal tax bill?


16%

10%

5%

10%

1%

3%14%

1%

16%

24%Debt/Capital

Reserve for Uncollected Taxes

Library

DPW

Recreation

Health

General Gov

Legal/Audit

Benefits

Public Safety

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? Costs can be further broken down into fixed or mandated Costs can be further broken down into fixed or mandated

versus discretionary. Fixed costs include:versus discretionary. Fixed costs include:

Employee salaries, benefits, pension and social security Employee salaries, benefits, pension and social security costs represent 50% of the municipal budget or about $915 costs represent 50% of the municipal budget or about $915 per year per year

Debt service and capital is 16% of the municipal budget or Debt service and capital is 16% of the municipal budget or $293 per year$293 per year

The reserve for uncollected taxes which allows us to have The reserve for uncollected taxes which allows us to have enough cash to meet our bills represents 10% of the budget enough cash to meet our bills represents 10% of the budget or about $183 per yearor about $183 per year


Other fixed costs include:Other fixed costs include:– Utility chargesUtility charges– General insurance for our buildings and General insurance for our buildings and

equipmentequipment– Maintenance of the libraryMaintenance of the library

These costs represent 10% of the These costs represent 10% of the budget or $183 per year budget or $183 per year

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? The average homeowner pays the following The average homeowner pays the following

annual costs for these services:annual costs for these services: 1. Library - $88/year1. Library - $88/year

2. Turkey Brook Park Maintenance - $15/year and 2. Turkey Brook Park Maintenance - $15/year and Turkey Brook Park Construction - $65/yearTurkey Brook Park Construction - $65/year

5. Police, Fire, Rescue Services - $439/year5. Police, Fire, Rescue Services - $439/year

6. Road, Park and Building Maintenance - 6. Road, Park and Building Maintenance - $183/year$183/year

WHERE DO OUR TAXES GO?WHERE DO OUR TAXES GO? Expense increases from 2007 to 2008:Expense increases from 2007 to 2008:

– 1. Debt Service - $646,8211. Debt Service - $646,821

– 2. Salaries - $319,4052. Salaries - $319,405

– 3. Library - $44,8133. Library - $44,813

– 4. Pension - $399,7924. Pension - $399,792

– 5. Fleet Maintenance - $88,2805. Fleet Maintenance - $88,280

– 6. Departmental Operating Budgets - $83,0586. Departmental Operating Budgets - $83,058

– 7. Utilities - $194,7507. Utilities - $194,750


Expense decreases from 2007 to Expense decreases from 2007 to 2008:2008:– 1. Reserve for Uncollected Taxes - 1. Reserve for Uncollected Taxes -

$521,710 $521,710

– 2. General/Group Insurance - $79,7752. General/Group Insurance - $79,775


2007 VERSUS 2008:2007 VERSUS 2008:– The total budget for 2007 = $25,532,124 and The total budget for 2007 = $25,532,124 and

for 2008 = $26,858,169for 2008 = $26,858,169

– This year the proposed municipal tax rate This year the proposed municipal tax rate increased 9.65% or 4.1 tax points which equals increased 9.65% or 4.1 tax points which equals about $196 per year or $16 per month to the about $196 per year or $16 per month to the average homeowneraverage homeowner

– No services have been eliminated or reducedNo services have been eliminated or reduced


Type of Type of TaxTax

RecastRecast2007 2007 Tax Tax RateRate

2008 2008 Tax Tax RateRate

Net Net ChangeChange

PercentPercentChangeChange

LocalLocal .425.425 .466.466 .041.041 9.65%9.65%

Sanit.Sanit. .053.053 .053.053 .00.00 0%0%

Open Open SpaceSpace

.016.016 .016.016 .00.00 0%0%

TotalTotal .494.494 .535.535 .041.041 8.30%8.30%

WHERE DO OUR TAXES GO?

Documents

Transcript of WHERE DO OUR TAXES GO?