At its February 27 meeting Council introduced the 2012 budget as well as an ordinance to permit it to exceed the municipal budget appropriations and establish a cap bank. Township Chief Financial Officer Joanne Louth explained the safety net contained in the ordinance, relating to the appropriations in the 2012 budget and beyond.
“The ordinance increases the amount of the cap from the 2.5 percent that’s allowed by local cap law, set forth by the director of the state’s division of local services, determined by cost of living for the budget to go up. The ordinance will increase that to 3.5 percent — $262,000 — and this additional percentage is advisable, not necessary, and that will be a decision council will make when it adopts the budget. The portion that is advisable and necessary for future decision-making is the establishment of the bank,” Louth said.
Without this measure Louth said that there is no banking of that appropriation “for the purposes of decisions” in the 2013 and 2014 budget. “If it’s not active now there’s no banking going forward,” she said.
Louth says areas such as pension costs and healthcare had gone up in previous years more than the cost of living, and the township would want to prepare for such future financial obligations.
“What this action does is it authorizes that any appropriation that is not being used in this budget would be available for a decision in the 2013 and 2014 budgets. The budget being introduced is some $2 million under the cap but we don’t know what our restrictions are going to be — the concern being that because it was defeated last year is that there’d be no banking for 2013,” Louth said.
Louth told council members to refer to the cap calculation to look at the operating budget.
“Right now the operations within the cap are well under the allowable. We are not using last year’s or 2010’s and we don’t need it now as our budget is going down this year. But in case costs rise next year or the year after, an approval of this ordinance will give you the ability to do so.”
The mayor described the measure as “a way to prepare for something totally unexpected.” He and Louth both said that last year was the first instance that this notion was defeated.
The ordinance was introduced for public hearing, which is scheduled for council’s meeting on Monday, April 16 — coinciding with the deadline for council to adopt the 2012 budget. Councilman Bryan Maher, who along with Linda Geevers voted against introducing the ordinance, disagrees with the principle behind it.
“You guys do what you want. I’m against sending the signal that we are willing to go to 3.5 percent. I think it’s unnecessary and it’s a philosophical question whether we want to make the statement that we would go to 3.5 percent or that we will try to live within our means like the people of the community do. It’s bad enough that land-home assessments have gone down fairly dramatically, and even if we hold the budget at zero many people’s property taxes in town are going up,” Maher said.
“We as a panel need to rein in the expenses. We don’t have a revenue problem, we have an expense problem, so I’m against giving ourselves more leeway in the case of an emergency to bank something that we shouldn’t be needing. That’s my personal view, and I think the community sent a very strong signal of this last November — quit spending so much of our money,” Maher said.
In other news, council approved the following recommendations made by the administration on February 27:
— A shared services agreement for West Windsor and Mercer County pertaining to shared hazardous materials emergency response services was voted for. It permits the township to qualify for grant money for equipment.
— An amendment to the professional services contract the township has with Remington & Vernick Engineers for traffic signal modifications at the intersection of Alexander Road, Vaughn Drive, and Bear Brook Road was approved for $8,735. Hary said the measure will be taken to comply with a DOT request in conjunction with the building of the New South parking lot.
— Another amendment to an agreement with Remington & Vernick Engineers was for final project closeout costs for the Alexander Road S-curve reconstruction, in the amount of $7,714.27.
— A budget transfer to allow for the transfer of funds within the 2011 municipal budget was approved for money to come from so cial security to pay for gas and the township’s labor counsel.
— A state contract for $17,692.45 for Allstate Office Interiors to install new carpet in the courtroom and court offices was approved. The carpet to be replaced is 16 years old and in poor condition, according to council members. Pete Weale of Fisher Place said he did not think the township needed to install new carpet “for those that have broken our laws.”
— Council approved the re-appointment of Jeffrey I. Rubin as the municipal prosecutor for the period of March 1, 2012 to December 1, 2012 for $25,000.
— A refund of overpaid property taxes was approved.
— A resolution was passed confirming the re-appointment of Razia Sayed to the Human Relations Council for a two-year term expiring December 31, 2013.
— Finally, council voted 4-1 in favor of purchasing a new Ford F550 chassis cab truck with a snow plow for Public Works for $56,100 (WW-P News, February 17) after the idea met opposition from councilman Maher and resident Pete Weale, who brought a toy lawn mower up to the podium during public comments.
“How can I get Public Works to go and clean out detention basins so we don’t have to pay a third party vendor? Here’s a vehicle,” Weale said.
