Parsippany would raise taxes, hire more police in $88.4 million budget proposal
PARSIPPANY — Township residents face another tax increase this year after the introduction of an $88.4 million municipal budget at Tuesday's council meeting.
How much will taxes rise?
The proposed 2023 fiscal year budget calls for an increase in the town's property tax levy of 3.76% and an overall tax increase of 2.57%, or an estimated $100 more per year per homeowner, based on an average home valuation in town of $313,000.
If approved, the spending plan won't sting quite as much as last year, when a 14.3% increase in the local tax levy was imposed to make up for financial losses that Mayor James Barberio blamed on the COVID pandemic and poor fiscal management by the previous administration. The municipal tax hike contributed to an overall increase for the average Parsippany homeowner, including school and county taxes, of 3.3%.
What's next for Parsippany budget?
The budget, which also includes funds for five more police officers, must be approved a second time by the township council to take effect. Barberio and all five council members are Republicans.
The 2023 figure represents a 1.7% increase over last year's $86.9 million budget.
On Tuesday, Barberio and some council members blamed the latest increase on "historic inflation" rates as well as the need to replenish the township's debt service fund to retain Parsippany's favorable credit rating. The mayor said his "fiscally prudent, structurally balanced budget" would "correct the course of the past and put Parsippany back on sound financial footing."
The mayor said that over the past year, costs surged for health benefits (a 9% increase, he said), debt service (33%), pension payments (14% to 15%) and utilities (14%).
Debate over public hearing
The budget introduction passed by unanimous vote, but only after Councilman Justin Musella pushed for the council to schedule a public hearing before the final vote. Public budget hearings are common in New Jersey but not required by law.
Barberio, Council President Loretta Gragnani and Councilman Michael dePierro initially resisted the request, saying they were confident there was no fat left to cut in the budget.
"I did my homework," said dePierro, a member of the budget committee.
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Musella continued to press the council members for a public hearing, at one point holding up the vote.
"I think the important thing that we owe to the taxpayers is having a process where there is public input and we have the opportunity to interview the department heads, the CFO and the business administrator," Musella said. "So that way, I can have a full understanding as to the meaning behind the full increase."
After Councilman Paul Carifi agreed with Musella, the others fell in line and voted unanimously to schedule a budget hearing. "I'm all for it," Carifi said.
Barberio referred to the discussion as "ridiculous," but added "I have no issues with having the department heads come here," Barberio said. "We'll schedule it all in one or two days and we'll move forward with it."
Budget replenishes surplus, adds police
Carifi and Barberio stressed the budget proposal also emphasized replenishing the township's surplus and addressing public safety by adding more police officers to the force.
"At one point under the old administration, we were down to 81 deployable police officers," Carifi said. "We added nine police officers and we're adding five more. The surplus has increased from $1 million to $6.4 million thanks to prudent oversight. These are just some of the things this budget improves."
The council also passed a resolution authorizing the township to exceed the state-mandated 2% cap on annual property tax increases.
William Westhoven is a local reporter for DailyRecord.com. For unlimited access to the most important news from your local community, please subscribe or activate your digital account today.
Email: wwesthoven@dailyrecord.com
Twitter: @wwesthoven
This article originally appeared on Morristown Daily Record: Parsippany NJ 2023 budget would raise property taxes, hire cops
