Surplus keeps tax rate flat in 2005 L.B. budget Amendments include drop in delinquencies, increase in surplus BY CHRISTINE VARNO Staff Writer LONG BRANCH — The 2005 municipal budget was adopted with amendments last week, but the city’s chief financial officer said the changes will not affect the tax rate. “It changes nothing,” Ronald Mehlhorn said last week. “When the budget went to the state for review after it was introduced, changes had to be made.” The $38.2 million budget, up from $36.7 million last year, was introduced at the April 12 council meeting and adopted with amendments at the May 10 meeting. Taxpayers will not see an increase in their tax bills for 2005 because money from surplus was used to offset the budget, Mehlhorn said. “We have been ultraconservative with surplus in the past,” Mehlhorn said. “The council opted to use $300,000 from surplus.” Changes made included a $63,122 increase in surplus, from $3,250,000 to $3,313,122; a $63,123 decrease in delinquent taxes, from $1.2 million to $1.136 million, and a $1 increase in state aid from $5,870,914 to $5,870,915, which Mehlhorn said was probably just rounded off differently this year to include an additional dollar in the 2005 budget. “In the budget, you are only allowed to anticipate what you got the previous year,” Mehlhorn said. “That does not apply for taxes because then you would never be able to raise taxes.” “We have been using $1.2 million [in delinquent taxes] forever. I did not look at it because we always use the same number. “I should have caught it,” Mehlhorn said. He added that the amount anticipated for delinquent taxes is based on a percentage of the amount collected the year before, and the city has been using $1.2 million as an accurate figure for the past couple of years. “This time the collection was so good that the delinquency dwindled and we had to use a lower anticipated figure in the budget.” Without an increase, the local tax rate will remain at 94.3 cents per $100 of assessed valuation and a homeowner living in an average home assessed at $241,260 will continue to pay $190 a month in taxes, Mehlhorn said. “We had $30 million in new ratables, which generated $327,000,” Mehlhorn said. He added that other revenues include $853,000 in grants and $47,000 in other revenues, which he said, “adds up to the $1.5 million increase from last year’s budget.” But some residents were still not happy with the budget. Harold Bobrow, Ocean Boulevard, suggested the council put the budget on the Web site for residents to view. “If you really want input from the people you represent and those whose money you are spending, I think it would be a splendid idea to put [the budget] on the Web site,” he said. Another resident offered suggestions to the council on ways to save residents money in upcoming years. “You have to try to save some money for the people,” said Bill McLaughlin, Ocean Avenue. “You should start shopping around for health insurance plans.” He also suggested the council put all contracts out to bid. “When you do not put something out for bid, you do not know if what you are getting paid [is the right amount],” he said. “It is an insult to the people and the town.” He also suggested the city consolidate services with other towns. “Your wasteful spending is having an impact on citizens,” McLaughlin said. “Stop using citizens as cash cows.” Councilman Anthony Giordano, who voted for the budget along with the other three council members present at the meeting — Councilwoman Mary Jane Celli was absent — said the council met numerous times over the past year to work on the budget. “We do listen to the recommendations from the public constantly,” he said at the meeting. “We think we run a pretty good city. The results are obvious, the city is much better today than it was years ago.”