T.F. considers cutting open space funding

T.F. considers cutting open space funding
$876K collected in 2008 for open space
BY KENNY WALTER Staff Writer

TINTON FALLS — The Borough Council discussed at its meeting last week the possibility of a referendum that would seek voter approval to cut the open space tax almost in half.

The contentious discussion took place during the workshop portion of the July 21 meeting, after the council introduced an amendment to the 2009 municipal budget.

The current tax rate for open space is 3 cents for every $100 of assessed valuation. That rate was set by a November 2005 referendum that raised the rate from 1.5 cents per $100.

A major point of discussion at the meeting was that after the recent revaluation that took effect in 2008, the amount of money collected from the open space tax rose dramatically.

According to Borough Clerk Karen Mount-Taylor, the borough collected $384,181 from the open space tax in 2007. After the revaluation, the amount collected rose to $876,746 in 2008.

Some members of the council said that a referendum seeking approval to lower the open space tax rate could possibly save taxpayers $58.10 annually. Taxpayers currently pay just over $103 a year into the open space fund.

However, the council was split on whether or not this was the right time to cut down on open space taxes.

Council Deputy President Gary Baldwin pointed out that the previous referendum was passed before the revaluation took place.

"With the receipts going up so high with the revaluation. I think it's time to take a look at that," he said.

The two councilmen who seemed to be the most opposed to cutting open space funding were Andy Mayer and council President Duane Morrill.

Baldwin took issue with the two councilmen, who earlier had voted against the budget amendment.

The amendment, made in line with the recommendations of Director of Finance Stephen Pfeffer, raised the tax rate and will increase homeowners' tax bills by $92 per year.

"I sit here tonight and listen to you [Morrill and Mayer] adamantly vote against a small increase to help us next year to keep us from getting into trouble," he said. "Your reason for that is simply you're tired of asking the public for more tax money."

For Baldwin, the jump in taxes after the revaluation is the reason the borough needs to drop the rate on the open space tax.

"They approved 3 cents, moving from 1.5 to 3, but at that time the approval gave this borough an opportunity to buy $350,000 [open space property]," he said. "It didn't give us permission to give us [more than] $800,000 from the pockets of the taxpayers."

For Mayer, who was not present during the meeting but weighed in on speakerphone, it is too soon after the previous referendum to consider another.

"The last open space referendum was voted on by the voters in November of 2005," he said. "It wasn't that long ago."

Mayer also cited the unanswered questions relating to the closing of Fort Monmouth as a reason why the open space tax should not be cut.

"The property at Fort Monmouth, we really don't know what's going to happen with that," Mayer said. "Now really isn't the right time to evaluate changing it."

Councilwoman NancyAnne Fama also is concerned that the tax rate may be too high for the open space tax.

"Mr. Mayer and Duane [Morrill], you just voted against the budget amendment," she said. "I'm sure you're aware that in 2006 the tax receiptswere just under $400,000. With the revaluation, those receipts have more then doubled."

Fama went on to say that open space is important, but with revenues decreasing, cutting the open space tax is a way to give back.

"We all agree with open space," she said. "We all want fields for kids, but we do have to also tighten the belt."

Morrill's argument was that open space land is a lot cheaper to maintain than developed land.

"I think it will be a lot cheaper to keep open space," he said.

Mayer claimed that there isn't a lot of undeveloped land in the borough, but there is some on the south end of town that could be acquired with open space funds.

"There's some land on the south end of town that if we don't act sometime in the near future, that land's going to be gone forever," Mayer said. "This is really our only opportunity to prevent further developing in town by acquiring this land."

"If we buy the property, we also have expense associated with that," Fama said. "Whether it is developed or purchased by the town, there is still cost associated with that.

Morrill also said there wasn't much land left and that he is aware of the possibility of the borough building an indoor sports center and a softball field.

Business Administrator Bryan Dempsey said those are things that the borough may desperately need.

"Unless we come up with some kind of indoor facility, it's going to get harder and harder to have activities for the children because of limited space and competition for that space," he said.

Dempsey also gave a brief history of open space in Tinton Falls, saying that the borough purchased three pieces of property in 2001 but just one piece of property since the last open space referendum.

But for Baldwin, the issue is taxes and giving residents back a little something in a tough economic climate.

"We can cut this budget really down low, and you can give up a lot in this town, but I don't want to do that," he said. "So this is a chance for maybe to relieve this little bit of increase, and if we are lucky and get the revenues back up in some of these areas, then this will all be just a moot point."

Mayer, who earlier in the evening advocated for cutting expenses rather than raising taxes, said there is just not enough time to consider the change and that he opposes rushing this decision.

"I didn't want to increase the taxes without looking at what we could do with reducing the operating expenses in the borough," he said. "I don't think today's the day to do that [cut open space]; open space doesn't grow on trees.

"I'd like to find some more facts about Fort Monmouth and see what we can do about working down our debt," he continued. "I'm not interested in bonding any more money.

"Do we really want to progress any further if we don't know what is going to happen with Fort Monmouth?" he asked. "Do we want to wait another year on this?"

Baldwin argued that Tinton Falls is too far away from knowing the impact that the closing of Fort Monmouth is going to have on the borough.

"We are still a ways away from knowing the impact the Army is going to have on us," Baldwin said. "We are powerless to do anything against it anyway."

Another factor for Mayer was that the open space tax rate helps in applying for grant money.

"Our current open space rate helps out with grants as well," he said. "We are looked at very favorably based on our tax rate on that."

Baldwin said he would be willing to cut open space funds if it means that there is less of a chance that the borough would have to cut personnel to save money.

"Open space is an investment, but employees, police officers, recreation services, parks — that's an investment also," he said. "When we start cutting those investments because of open space, I'm not sure that's a good trend."

At the end of the meeting, newly appointed Borough Attorney Brian Nelson explained the options the borough has if a referendum is not put before voters in the general election in November.

"You could legally do a special election, but that would be quite costly," he said. "If you don't have a question adopted by Aug. 21, then you'd have to have a special election, which I don't think you'd want to do."

The deadline to submit a referendum question is Aug. 21, which means that the council must act and agree quickly in order to add to the ballot a question about changing the open space tax rate.

Nelson said he would prepare questions for the Aug. 4 meeting.

Contact Kenny Walter at

kwalter@gmnews.com.


Click here to enlarge



No Flash Detected
Please download the latest version by clicking below:

Get

Advertisement for Brock Farms