Avalon's Tax Rate

Avalon's budget increases, tax rate drops
By BRIAN IANIERI Staff Writer, (609) 463-6713
Press of Atlantic City
Published: Thursday, March 30, 2006
Updated: Thursday, March 30, 2006

AVALON — The local government will collect $1.2 million more from taxpayers this year, but a revaluation that rocketed Avalon's worth to $8.5 billion means the tax rate will drop.

With a tax rate of 14.1 cents per $100 of assessed value, the owner of $1 million home here will pay $1,410 in local purpose taxes.

Avalon Chief Financial Officer James Craft said the budget includes $500,000 to reduce its debt service on beach-replenishment projects and other loans.

Avalon's ratable base grew from $5.5 billion to $8.5 billion following a revaluation that went on the books in January.

The budget also includes a $264,000 increase from last year for the municipal library, Craft said.

In 2005, Avalon began paying for its own municipal library after separating from the county library system.

But as Avalon's ratable base grew this year, so did the new municipal library's funding, which is based on those ratables and determined by state law, Craft said.

As a result, the library is receiving more money than it needs, said Councilman Charles Covington.

“It just doesn't need that much money and probably isn't going to need it in the future either,” Covington said.

Excess money would go in a surplus but would be reserved for library projects, Covington said.

Covington said Avalon has suggested that state legislators change that law to take into account municipalities that collect more than their libraries require.

“It's going to have to be something that's going to take a lot of work to change the current legislation,” he said.

Also in the budget, salaries and wages increased $211,000, or 4.5 percent, from last year.

The borough is also anticipating it will receive $840,000 by selling beach tags this year. The amount — an increase of almost $60,000 from last year — is based on the price of beach tags being raised by $2.

To e-mail Brian Ianieri at The Press:
BIanieri@pressofac.com