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By NANETTE LoBIONDO GALLOWAY
VENTNOR The Board of Commissioners Thursday, March 14 introduced its 2024 municipal budget with a 2-cent tax rate increase. The $37.7 million budget is well below the spending and tax levy caps set by state law.
You can spend a lot more money and raise a lot more money in taxes because you are well within state tax laws, said auditor Leon Costello of Ford-Scott Associates of Ocean City. You are sound financially.
The tax levy of $27,045,440 is up 3.66% over last year's amount. The new tax rate is $1.2451, up 2.21 cents or 1.81% over last year.
A taxpayer with a house assessed at $500,000 will pay an additional $110.50 for municipal services this year.
The budget could change before it is approved on April 11, he said.
Costello said Ventnor has a lower tax rate increase compared to other nearby municipalities.
There are no gimmicks or one timers. It's a clean budget, Costello said.
The budget will be reviewed by the NJ Department of Community Affairs Local Finance Board, a process that occurs every three years.
Mayor Lance Landgraf said the increase is less than the significant increase the city had last year due to health and pension increases, and the city used less of its fund balance this year.
There were increases everywhere. No one likes increases but we need to make sure we are funded properly, he said.
Commissioner of Finance Maria Mento commended Costello for properly advising the commissioners and financial staff and for the commissioners taking his advice.
Commissioner Tim Kriebel said there were a lot of moving parts to consider in formulating the budget, which has been supported with a year-over-year increase in the ratable base.
The complexion of the whole city is growing, including the ratables, which might not always happen, he said.
The city gained $36.7 million in new ratables, bringing the total assessed valuation of the city to $2,172,151,300. According to the budget document, salaries and wages increased 5.7%. Total appropriations increased $153,598.
The city applied $4 million in surplus to fund the budget but maintains a fund balance of $4.8 million. The city realized $564,195 in interest on investments and deposits last year.
Although interest income is up, Costello said the city must still adhere to the state's 2.5% spending cap.
Salary, wages and expenses for the Police Department increased $499,000 to $5,392,000, and for the Fire Department, expenses increased $205,000 to $5,315,000. Beach Patrol expenses increased $135,000 to $735,000. The cost of employee group health insurance increased $253,520 to $2,320,000.
The city had a $373,399 increase in interest on bonds and notes, and a $180,000 increase in principal.
A discussion and public hearing on the budget will be held 5:30 p.m. Thursday, April 11 at Ventnor City Hall and on Zoom.
Ventnor Introduced budget 2024
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