SEA ISLE CITY — A $21.6 million 2014 municipal budget carrying a 1.1-cent increase in the local purpose tax rate will be mostly offset by a reduction in the city’s school tax rate.
The city’s budget, containing a $700,000 increase over 2013, will cost the owner of the average $735,000 home $81 more in local taxes this year. But because the 2014-15 school budget of $2.5 million carried a $428,000 decrease, or $68 less per homeowner, the average Sea Isle taxpayer faces only a $13 property tax increase.
Much of the budget increase was due to debt service on capital improvement projects that recently have been undertaken, including the driving of pilings for the new City Hall-Public Safety building that will replace Sandy-damaged city buildings.
With the local purpose tax rate rising from 31.3 cents per $100 of assessed value to 32.4 cents, the average homeowner will pay $2,381 in local taxes in 2014 versus $2,300 in 2013. School taxes add another $304 to the tax bill, down from $372.
Since closing its school district two years ago, Sea Isle City has reduced its school tax burden by $1.5 million. The 2014-15 budget reduction is attributable to the drop in the number of students attending Ocean City’s schools from 93 this year to 80 next year.
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