SOUTH AMBOY – Property owners in South Amboy will see a one-cent increase in the municipal tax rate in 2018, resulting in an increase of $36 in municipal taxes for the owner of a home assessed at the city average of $270,680.
On April 18, members of the City Council introduced a $17.8 million budget for 2018 that will be supported by a $10.82 million tax levy to be collected from the city’s residential and commercial property owners.
South Amboy’s 2017 municipal budget totaled $17.4 million and was supported by a $10.7 million tax levy, according to the budget document.
South Amboy officials plan to use $1.13 million from surplus (savings) as revenue in the budget. In 2017, officials used $661,000 from surplus. State aid will remain flat at $3.87 million for 2018, according to the budget document.
A public hearing on the budget will be held May 16.
If the budget remains as is and is approved by the state and the council, the municipal tax rate will increase from $1.178 to $1.189 per $100 of assessed valuation, according to the budget document.
In 2017, the average home in South Amboy was assessed at $270,103 and the owner of that home paid $3,182 in municipal taxes. In 2018, the average home is assessed at $270,680, according to CFO Angel Albanese. The owner of that home will pay $3,217 in municipal taxes, an increase of $35.
The owner of a home that was assessed at $300,000 in 2017 paid $3,534 in municipal taxes. If that home is still assessed at $300,000 in 2018, the owner will pay $3,567 in municipal taxes, an increase of $33.
A property owner will pay more or less in taxes based on the assessed value of his property. A property owner’s total tax bill also includes South Amboy school taxes and Middlesex County taxes.
South Amboy’s municipal budget includes a three-year capital improvement plan totaling $7.705 million. The breakdown of the spending is $3.11 million in 2018, $3.135 million in 2019 and $1.46 million in 2020 for 12 projects across the three years, according to the budget document.
The capital improvement projects that will begin in 2018 are the following: $30,000 for the acquisition of office furniture; $525,000 for improvements to sewers and pump stations; $500,000 for improvements to streets, roads, curbs, etc.; $500,000 for improvements to Stevens Avenue, curbs, etc., that will be supported by a $300,000 grant; $75,000 for improvements to technology equipment, peripherals and software; $75,000 for improvements to buildings and grounds; $750,000 for ferry terminal designs and permits; $150,000 for the Department of Public Works generator; $205,000 to purchase public works machinery and equipment; and $300,000 for city hall facade improvements.
Future improvements will include the acquisition of safety vehicles and traffic devices that is estimated to cost $485,000. This process is expected to begin in 2019 and be completed in 2020. Other projects will be improvements to O’Leary Boulevard and its curbs in 2019 that will cost $100,000.
City officials will spend less on sewers and solid waste collection in 2018. Sewer salaries and wages will decrease from $318,020 in 2017 to $156,888 in 2018. According to Albanese, the reduction is attributable to the retirement of two employees who were at their top pay grade.
Other expenses relating to sewers will increase from $38,185 to $70,250. Solid waste collection salaries and wages will decrease from $553,712 to $173,883. Albanese said this is due to the realignment of staff that resulted in a decrease in the sanitation budget with a matching increase in streets and roads.
Police salaries will increase from $3.5 million in 2017 to $3.62 million in 2018, and police related expenses will increase from $51,800 in 2017 to $52,400 in 2018.
Parks and recreation salaries and wages will increase to $60,312 in 2018, up from $39,633 in 2017. Albanese said the change is attributed to a realignment of personnel from Senior Services to Recreation and the elimination of two part-time positions.
Contact Peter Elacqua at pelacqua@newspapermediagroup.com
