Borough Council Receives Criticism While Introducing Its 2004 Budget

Candace Braun

About a dozen angry residents attended last week's Borough Council meeting to protest the anticipated $21.8 million budget for 2004. But Council members still voted to introduce the budget by a 5-1 vote, with Councilman Roger Martindell opposed.

The anticipated tax hike means residents will owe 86 cents per $100 of assessed valuation of municipal land, which is 14 cents higher than last year.

The ensuing budget was "a perfect storm," after the approval and construction of the downtown redevelopment project, said Charlotte O'Connell, a Patton Avenue resident. If taxes continue to increase more than the cost of living, residents like herself will be forced to move out of town, she said at the March 23 meeting.

The proposed tax hike will mean an approximate $500 increase for the average Borough resident. Major increases totalling $1.6 million include a $847,000 increase in debt service, a $267,000 increase in health insurance for Borough employees, and a $234,00 increase in payments to the Stony Brook Regional Sewer Authority.

In addition, $247,000 in expenses for the new library contributed to the Borough's debt, however these costs were expected, said Bob Bruschi, Borough administrator.

Mark Alexandridis, Borough resident and former competitor for a seat on Council, made several remarks that received applause from other residents in attendance.

"There has been a general incompetence of managing affairs," said Mr. Alexandridis. "The discourse of Council has been disappointing."

The resident told Council that double-digit increases aren't realistic or sustainable for anyone living in the Borough: "Princeton Borough isn't a wealthy community ... It's a real town, with a real community, and real constraints."

Alan Hegedus, finance chairman for the Princeton Regional School Board, requested the Borough look to residents with financial expertise to help tweak the budget. He called the budget a "slow moving train wreck."

Finding ways to get Princeton University and other tax-exempt institutions to contribute more to the Borough was also suggested by a number of residents.

Finding a Solution

Several other solutions to the growing budget were suggested by residents and Council members. Mr. Bruschi told Council that because of the abrupt increase in health insurance, the Borough will be changing over to a state health plan on June 1, which should reduce the anticipated $500,000 increase in insurance costs.

"Our salaries are now competitive and our benefits are way too generous," said Councilman David Goldfarb, who was in favor of changing the insurance plan.

In addition, an early introduction of the budget to the state will mean a better chance of receiving state aid, said Mr. Bruschi.

Councilman Andrew Koontz said the Borough should start to look ahead as far as three to five years when planning the budget so that the Borough isn't caught off-guard like it was this year.

Councilman Martindell, who voted against the budget, requested the Borough hold public work sessions either on weeknights or during the weekend when residents would be able to come and review budget expenses with Council members. Other Council members were in accord with his suggestion.

"A fresh pair of eyes is always useful," said Mr. Martindell.

Mr. Bruschi estimated a $900,000 increase in the budget for 2005, however both Mr. Martindell and Mr. Goldfarb requested the budget remain unchanged in 2005, despite foreseeable costs that could drive it up.

Mr. Bruschi said that severe cuts would need to be made, including Borough staff, to make that budget possible.

The Council unanimously voted to approve a resolution that would keep municipal spending unchanged from 2004 to 2005.

A public hearing on adoption of the 2004 Borough budget is scheduled to take place on April 27.