LACEY, NJ — Lacey Township introduced its municipal budget for fiscal year 2026 during a public meeting, with officials outlining higher appropriations and a proposed tax increase tied largely to rising benefit costs.
According to figures read into the record, general appropriations for municipal purposes total $45,163,824.22. Reserve for uncollected taxes is $1,864,051.78, bringing total general appropriations to $47,027,876. Anticipated revenues total $22,241,142.05, and the amount to be raised by taxes for support of the municipal budget is $24,786,733.95.
During the meeting, Chief Financial Officer Linda Covello said the township was introducing the budget "on time and within CAPS as always." She said the 2026 budget reflects "an increase of 11.5 percent over last year's appropriations," which she said "equated to 4,854,416."
Covello said the largest factor was the cost of health benefits.
"The notable increase here and as we've been talking about this for months now is the health benefits. New state of New Jersey health benefits went up for us I think it was 33 and some percent increase," she said. She added that the increase "equated to over $2 million" and said, "That is the most notable increase to the budget. We have zero control over that unfortunately."
Covello also cited a new solid waste contract and other contractual increases. She said, "So the tax increase for the taxpayer 4.3 cents. That's where we landed. Last time we spoke it was seven cents I believe. So we're down to 4.3 cents." She said the township used more of its fund balance to support the budget rather than pass the full increase to taxpayers.
To explain the local impact, Covello used a home assessed at $300,000, which she described as close to the township average. She said the owner "will pay an extra $129.58 annually or $10.80 a month." She also said, "You still have all your services. There's no reduction in services."
The budget hearing will be held May 14 at 6 p.m. in the courtroom.
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