By MADDY VITALE
For a second year in a row Sea Isle City has no plans to increase taxes in its 2020 Municipal Budget.
The budget comes in at $25 million, up slightly from the $24.6 million spending plan last year. The proposed plan includes a $6.4 million surplus, the largest likely ever, officials said.
Chief Financial Officer Paula Doll gave a presentation during the Council meeting.
Council will introduce it to the public at a meeting Feb. 26.
Under the 2020 budget discussed at a City Council meeting Feb. 13, the owner of an average home assessed at $674,873 will pay $4,845 in local taxes this year. The figure does not include county and school taxes.
Water and sewer rates are staying the same for a seventh year in a row. The average homeowner pays $1,220 annually for sewer and water service.
City Council President J.B. Feeley commended Doll’s work and said it is excellent that the city is going into a second year with no municipal tax increase.
“We have the highest surplus we have ever had. This budget shows good, long term, financial management,” he noted. The capital plans that are done with a five-year look ahead so that the projects are done because they are needed, not just because they can be done.”
Doll explained some reasons why the city’s finances are strong.
“We are fiscally conservative and responsible with our spending plan and we set aside money for anything we anticipate may come,” she said.
Doll pointed out that the budget’s surplus of $6.4 million, shows the smart spending plan in place in the city. She is already planning for the 2021 Municipal Budget.
“We will use some surplus for next year’s budget,” she added.
The 2020 Municipal Budget, as proposed, can also change.
“As far as this year’s budget, it is a plan,” Doll said. “It is only a plan still.”
Doll and City Business Administrator George Savastano answered questions from Council members and residents.
Former Councilman John Divney questioned whether the city should keep the large surplus.
“If you keep building surplus it gives us too much flexibility in managing our dollars,” Divney said.
“What level is a safe level of surplus?” he asked.
“We will use some surplus for next year’s budget,” Doll said.
One resident asked if the city’s ratables increased.
“Our ratables are up a little bit,” Doll replied. “We have strong ratables here. They have strong value.”
The plans to revamp the city’s recreation center at the former school on Park Road was also discussed.
A resident asked if any debt would be “retired” before the city bonds for a new project.
“As we take on new debt, we try to retire debt,” Savastano said. “That is our main plan for the recreation center.”
During Mayor Leonard Desiderio’s State of the City address on Feb. 12 he announced that taxes would not go up in 2020, a pledge he had promised back in 2019.
He said in his address that the city has strong financial footing.
“There is no doubt that the city is in great financial shape,” he said.
