The average Middle Township residential tax bill will rise $44 under the proposed municipal budget, largely due to a decline in property values.
The tax rate would rise by 7.2 cents per $100 of assessed value, an 18 percent increase driven mainly by a nearly $330 million decrease in the township’s overall property value following a recent reassessment. This rate does not include school, county and other taxes.
Township Auditor Glen Ortman estimated that 5 cents of the tax-rate increase could be attributed to the change in the township’s ratable base, which the reassessment sought to bring closer in line with actual market values.
The average residential property assessment dropped from about $274,000 last year to $241,000 this year, so that the average homeowner will pay a higher rate on a lower assessment.
The remaining 2.2-cent increase could be attributed to a mix of revenue decreases, cost increases and more spending in certain areas.
Employee group health insurance costs are rising by $63,407, total salaries and wages are rising $33,000 and deferred charges — which includes emergency appropriations for Hurricane Sandy cleanup and the cost of performing the reassessment itself — will cost the township $67,000 this year.
Overall, the spending plan’s appropriations are rising by 1.3 percent, or less than $280,000, in the proposed $20.5 million budget. Revenues other than taxes, such as fees, grants and interlocal agreements, are down $364,414, or 4 percent.
A public hearing for the budget is scheduled for 6 p.m. Monday, April 1, at the Middle Township Municipal Building, 33 Mechanic St.
The budget is available at the municipal building prior to the meeting as well as on the township website, www.MiddleTownship.com
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Proposed Middle Township municipal budget
2012 2013 Change
Total local tax levy $11,771,849 $12,415,422 $643,573
Tax rate $0.390 $0.462 $0.072
Avg. res. assessmt. $274,000 $241,000 -$33,000
Avg. res. tax bill $1,069 $1,113 $44