Overall Tax Increase of $800 Expected in Nutley
• Figure Could Be Even Higher Depending on Essex County's Levy
Mar 25, 2010 – Despite all the budget trimming already accomplished by town Commissioners, another $527,000 has to be cut to comply with state mandates – but even should town fathers be able to make that additional cut, it's possible additional employee layoffs might occur..
Just as important was Finance Commissioner Tom Evans' announcement to his colleagues that if and when the $527,000 is trimmed, "that still could translate into a $600 increase per household in Nutley."
Add that $600 to the $200 projected increase per household from the Board of Education, and the average homeowner is facing an $800 tax increase this year – and we've yet to hear what kind of tax has yet to be levied by Essex County.
The $200 average increase from the Board of Education already is a firm figure. The school board this week has cut programs and staff including 15 teachers. A "no vote" at the upcoming April 20 school election would send the budget to the Nutley Board of Commissioners for review and possible further reductions.
But considering that further cuts in the school budget would certainly result in addition teacher layoffs, which leads to larger class sizes, it's not likely that the Commissioners would take such action.
"The challenges we face are significant," Evans said.
A quick review of the budgets for the five municipal departments Tuesday night indicated that overall projected expenditures are still $527,000 over the maximum allowable increase under the guidelines of the new Cristie Administration.
The fear is the additional layoffs of town employees might include police and firemen who packed the Town Hall conference room Tuesday night.
Mayor Joanne Cocchiola this week shut down the town's welfare department and turned over its entire operation to Essex County. She also has come close to eliminating the budget for holiday celebrations in Nutley including the July 4th festivities and the Tree and Menorah lighting celebration. One resident Tuesday night suggested the tree lighting be moved to the front lawn of Town Hall.
Commissioner Mauro Tucci also announced that the town's jitney service is upping its per-ride cost 50 cents to $1.50. The jitneys serve the shopping district, accommodate senior citizens and provide shuttle service to NJTransit's main-line at Delawanna.
"We're not savings a million dollars, but every little bit helps," Tucci said.
Another loss for Nutley taxpayers this year will be the demolition of one of the oldest buildings on the Roche campus (Bldg.85) which will result in a loss of $750,000 in tax revenues for the town.
Mayor Cocchiola also said the cost of garbage collections for the coming year could worsen the budget crisis.
"The garbage contracts are still out for bid – we don't know what the costs will be," she said Tuesday night.
If Commissioners are able to make further cuts in their budgets to a level reflecting a $600 tax increase, residents can add that to the $200 increase created by school costs and a still-to-be-determined levy by Essex County, and the total is at least an $800 increase for the average homeowner in Nutley.
Gov. Chris Cristie has proposed a constitutional amendment to cap the growth of property taxes at no more than 2.5 percent per year. The governor said a similar proposition adopted in Massachusetts dropped taxes there from the 3rd highest in the nation to 33rd place.
The governor yesterday also acknowledged the crisis Nutley and other school boards are facing.
"We know that there are many rank and file teachers who know in their hearts that a practical response and short-term sacrifice is the right approach and in the interests of the entire community. Unfortunately, this position is not shared by those who profess to lead and represent them," the Governor said.
