HILLSDALE—The Borough Council on March 12 unanimously introduced a preliminary 2024 budget slightly over $19 million, an increase of $3,267,982 over 2023’s tab that will increase the average homeowner’s municipal taxes by $104.30 over last year.
The average Hillsdale home is assessed at $476,107, notes the preliminary budget. A public hearing on the budget is set for April 9 at 7 p.m.
The total budget introduced to operate the borough was estimated at $19,174,064. The amount to be raised by taxes is $11,259,134, an increase of $379,187, or 3.45% over the 2023 tax levy, according to the budget overview. The 14-page budget overview is linked to the meeting’s agenda.
The budget’s $3,267,982 increase over 2023 represents a 19% increase. However, the increase results in a municipal tax rate of 65.8 cents per $100 of assessed valuation, versus the 63.7 cents per $100 tax rate in 2023.
A 2024 budget pie chart breaks down the municipal budget categories by size: 27.1% ($5,201,249) for salaries and wages; 25.7% ($4,908,411) for borough departments operating expenses; 19.4% ($3,712.258) for miscellaneous operating expenses; 13.9% ($2,666,592) for insurance and pension; 13.6% ($2,600,000) for capital fund; and 0.4% ($85,553) for grants.
A chart, “Key Drivers In 2024 Budget,” shows a total increase of $923,181, which excludes capital and field improvements. The draft budget listing shows an $800,000 increase in the Capital Improvement Fund and $1,300,000 in the Fields Improvement Reserve.
Other increases showed $208,931 for health insurance; $141,000 for Department of Public Works salaries and wages for an increase in employees, snow removal/OT/per diem, and contract increase and promotions; $111,725 for twice a week garbage disposal on an existing contract; $130,000 for full-year daytime first aid response coverage; $68,521 for two new police officers; $56,491 for incremental headcount and hours; and $48,094 for the public library mandated by state law.
Following a brief discussion, council agreed to take salaries for the borough recreation director and assistant director, totaling about $120,000, out of surplus this year rather than adding them to the current tax levy.
Previously, the salaries were paid for by a trust funded by recreation fees.
The chief finance officer, David Young, said those salaries had not been included to be taken out of general operating funds, and rather than increase the tax rate, councilors agreed to draw those funds from surplus, which Young also recommended.
Young said the extra $120,000 would have added $33.33 to the average annual tax bill.
