MONTVALE—A proposed 2025 municipal budget of $23.6 million will raise taxes on an average assessed home by almost $95.00, which includes a state-mandated nearly $1 million budget for the public library, said the borough’s administrator.
A public hearing on the budget will be held April 29 at 7:30 p.m. at Borough Hall.
Administrator Joseph Voytus told Pascack Press that the proposed $23,600,695 municipal budget includes a state-mandated $958,266 for the public library.
He said the proposed budget represents a 2.87% increase in the municipal tax levy from last year, or $94.49 on the average home assessed at $549,604.
He said the 2025 budget shows a $1,112,462 increase in overall appropriations, or 4.95% over 2024.
Decreases, challenges
Voytus told us that the 2025 budget represented a 2.51% decrease in departmental operating expenses, but noted “challenges” with the overall “inflationary environment combined with significant increases in costs outside of borough control.”
“What is true for our residents is true for the Borough, as borrowing costs, utility bills, and health insurance prices continue to rise at levels far outpacing inflation,” Voytus said.
Voytus told us that some major cost drivers in the 2025 budget include:
- $127,000 in increased insurance costs;
- $345,000 in Police salary and wages;
- $220,000 additional for DPW services after third-party review of allocator with River Vale;
- $262,000 for debt service costs associated with road paving, capital projects, and the purchase of the DePiero Farm property; and
- Utility cost increases of 17% to 20% approved by the BPU for gas and electric tariffs.
He said the “good news is that the Borough’s prior investment in initiatives such as hiring and maintaining a top-tier police force, investing in recreational facilities, repairing and improving roads, has led to an average increase in property values of 5.99% over the past 12 months, or an increase of about $49,135 in home value.”
Voytus said the home value estimates were from an nj.com article based on Redfin. A Pascack Press search on nj.com found Zillow data showing Montvale’s average home value increased 5.2% over the last year.
After three public budget meetings in early 2025, Voytus told us the finance committee met more to trim the budget and minimize increases by:
- Decreasing discretionary operational expenses in the budget;
- Increasing existing income and identifying new revenue streams, including increased banking interest and use of the
- Open Space Trust Fund to offset some one-time costs;
- Renewing our AAA bond rating from S&P, which resulted in the lowest possible interest rates on our recent bond issue; and
- Continuing to encourage employees to use high-deductible health plans, which kept Montvale’s health insurance increase below that of most other Bergen County municipalities
Voytus said the property value increase was due “in large part due to the mayor and council investment in important quality-of-life initiatives.”
He said, “Our community’s priorities, including support for public safety, improving recreation facilities, limiting overdevelopment, and maintaining our roads, have all seen significant investment in this budget.”