Minimal Tax Levy Increase Proposed for Municipal Purposes

Some tax relief may be possible for the average home owner towards the municipal portion of the tax bill this year.

The proposed budget for 2012, in the amount of $18,281,943, has a tax levy of $14,419,262, which compared to last year, amounts to an increase of about 1 percent or one tax point, which means less than $35 for the average home owner. Since the property reassessment process brought a decrease in property value for many homeowners, it could result in some relief to the average homeowner this year.

Because many factors have changed as a result of the property reassessment process, taxpayers are not able to easily compare this year’s figures with last year’s figures, Mike Kronayk, chief financial officer and borough administrator explained.  

Residential properties dropped . As a result, . The new value of each tax point equals roughly $155,000 as opposed to $186,5000 before the reassessment. One tax point now equals about $35 for the average home owner, as opposed to $43.68 which was the former value per tax point prior to the reassessment.

More details regarding the 2012 municipal budget will be discussed at the April public hearing however Kronyak gave a brief explanation on some of the details Tuesday night. Overall spending for the year is up less than 1 percent and the tax levy comes out to $120,000 below the state mandated cap.  Compared with last year’s tax levy there is an increase of just $135,791.

Mayor Rose Heck said she was grateful that the borough did not have to lay off any staff members this year. from its payroll - two were laid off and another staff member who retired was not replaced - to keep the tax levy increase in check.

“We did the hard work last year of making necessary and unfortunate cuts but it has helped us prepare this year’s budget,” said the mayor.  

The public hearing on the municipal budget is set for April 10.

Taxpayers should be aware that the school budget, which makes up 60 percent of the tax bill, is handled by the . A public hearing on the will take place March 28.