Governor Corzine has signed legislation that will cause towns and school districts throughout the state to approach their budgets differently in the future.##M:[more]##
The legislation, signed April 3, institutes a 4 percent property tax levy cap on school districts and all county and local governments. The governor says the law “takes significant steps to ease the burden” of increasing property taxes across the state.
That burden may now be passed to townships and school districts. West Windsor Township Business Administrator Chris Marion says, “I am concerned about the caps. It’s too early to be able to provide details, but there are a number of potential pitfalls.”
School Board Member Robert Johnson said, “The caps are going to be very difficult for the school board to work under.”
The law allows for towns and school districts to apply for exemptions in “extraordinary” cases. “The cap provisions of the bill permit only a small number of adjustments,” according to a statement from the governor. The caps will not affect the proposed budgets for next year. They begin with the 2009 budgets for towns and 2008-’09 budgets for school districts.
