Lyndhurst, required by the state to project a tax levy and rate upon starting the new fiscal year in July, has projected an $902,304 increase to its tax levy, or 3.98-percent rise, just under the state mandated four-percent cap. The levy as it stands now would rise from approximately $22.68 million to $23.59 million.

Based upon the projected municipal tax rate, the average homeowner owning a house valued at $411,000, would only be responsible for paying an additional $28 in municipal taxes this year. Debbie Ferrato, chief financial officer and tax collector for the township, said the number could slightly change as the township has yet to receive its county tax rate and the net assessed valuation of the town could alter based on outstanding tax appeal judgments.

"You’re starting with a guesstimate, with a guesstimate of what this levy has to be," said Mayor Richard DiLascio. "Debbie’s been doing very well with it because unfortunately she’s had to put up with it [fiscal year budgeting] for a number of years."

Move to calendar year

DiLascio and Ferrato said they are both confident that legislation enabling fiscal year budget towns to revert to calendar years will allow Lyndhurst to strive for that as early as next year. They say it would end the confusion to taxpayers and give the town a competitive edge on extraordinary aid requests and grant funding, which they need to apply for much later in the year than calendar year towns.

For the average homeowner, if the numbers stayed true to form from now to the time the town looks to have a formal budget by Labor Day, it would mean only a 1.3-percent increase on municipal taxes. Last fiscal year, through billing of the fall of 2007 and spring of 2008, the average homeowner paid $2,717 in municipal taxes while the numbers representative of the current fiscal year would mean that same homeowner would pay $2,745.

Insurance, police, debt cause rise

Although the township is still in the process of closing out accounts and calculating possible appropriations and revenues for the 2009 budget year, there are certain costs that have already been tallied that are going to contribute to the levy rise. Health insurance costs at $225,000, police salary contract increases at $315,000 and $650,000 in debt service are all attributes that are adding into a projected $1.7 million appropriation increase. The township is also faced with a significant cut in municipal aid granted annually from the state, as are most towns statewide. This year, Lyndhurst will see a nearly $205,000 dip in its Consolidated Municipal Property Tax Relief Aid.

School taxes rise

DiLascio said it’s not only the municipal tax bill that taxpayers should be looking at, but the schools as well. He said this is the first year that savings from several shared services agreements between the schools and municipality are actually bearing the fruits of their labor. Earlier this year, residents passed a school levy that increases the average homeowners school portion of their tax bill $66 or two percent.

"In this case, you’re not seeing major increases in the school, but you are seeing the schools continue with their programming, hiring different teachers, building facilities and you’re seeing the rates stay very, very stable," said DiLascio. "I think the issue needs to be shown statewide. You don’t have to continue to look to municipalities and say stop spending money, stop spending money. It’s value, what is the value you’re getting and how that reflects back to the taxpayer."