No Tax Increase in Sea Isle's 2018 Budget

By Donald Wittkowski City Council gave final approval Tuesday to a $24.7 million municipal operating budget that keeps the local tax rate stable in 2018 for Sea Isle City property owners. The average homeowner with a house assessed at $645,000 will pay $4,481 in total annual property taxes, according to Paula Doll, the city’s chief financial officer. Meanwhile, water and sewer rates will remain the same for the fifth year in a row under the city’s new $10.4 million utilities budget. The utilities budget is separate from the municipal spending plan. The typical utility bill for homeowners is $1,220 per year, Doll said. “We have a zero tax rate increase. We have a zero water and sewer rate increase,” City Council President Mary Tighe said while commenting on both the municipal budget and the utilities budget during the Council meeting Tuesday. Doll explained that the city’s strong finances allowed the tax rate to remain stable. The city’s higher property values have helped to fuel revenue growth, she noted. Among other funding sources, the city was able to tap a $3 million surplus to help finance the budget. The city began the year with a nearly $5 million budget surplus, representing a $1 million increase over 2017. “It’s strong,” Doll said of the city’s financial footing during an interview. “It’s very strong,” added Leon Costello, a partner with Ford-Scott & Associates LLC, the city’s auditor. Rising home values have helped to fuel growth with Sea Isle's tax revenue. Most of the 2018 budget will be funded by $17.7 million in tax revenue. Beach tag sales will contribute nearly $1.3 million in revenue. The effects of Sea Isle’s transition from a volunteer ambulance squad to a professional emergency medical services unit controlled by the city is felt in the 2018 budget. The changeover began in 2017, but the 2018 budget represents the first time the EMS expenses are fully funded for an entire year, Doll said. Altogether, the EMS unit will cost $439,200 in salaries and wages and other expenses in 2018, according to the budget figures. Last year, Mayor Leonard Desiderio cited the “diminishing ability” of Sea Isle’s volunteer ambulance squad to provide round-the-clock rescue services as the reason he supported establishing a professional EMS unit run by the city. Founded in 1956, the ambulance squad has struggled in recent years to find enough volunteers to provide 24-hour service. City officials explained that the volunteers simply can’t devote enough time to the ambulance squad because of the demands of their full-time jobs. Sea Isle has transitioned from a volunteer ambulance squad to a professional emergency medical services unit funded by the city.