In 2007, a Monmouth University/Gannett New Jersey Poll found 49 percent of New Jersey adults would like to move out of the state, compared to 44 percent who would prefer to stay and 7 percent who are unsure. The poll found 28 percent of people wanting to leave because of New Jersey’s high property taxes; 19 percent mentioned the state’s generally high cost-of-living, with 6 percent citing housing costs and 5 percent citing state taxes
Franklin Lakes Council member Steve Marcus has donned his tri-cornered hat and, in the spirit of Paul Revere, is sounding the alarm, “The taxes are coming!, The taxes are coming!”. The North Jersey Media Group quotes the councilman projecting a potential 15% increase in taxes for residents of Franklin Lakes. An increase of this size will certainly cause some residents to consider their options in terms of finding a more affordable place to live, but many residents in New Jersey have no choice but to continue to weather the onslaught on tax increases that have plagued the state for the last decade.
Franklin Lakes is not alone in facing a fiscal crisis, but the purchase of the Haledon Reservoir continues to add a substantial debt burden to the borough. The purchase put Franklin Lakes on shaky financial ground, but borough residents are not alone in seeing a dramatic rise in property taxes over the last ten years.
The math is simple, the increases substantial, and seeing the numbers makes it easy to understand why people on a budget in the state of New Jersey are upset. In Franklin Lakes, an average property tax was $9,227 in 2000, and $14,616 in 2008. Wyckoff saw an average tax rate of $7,006 in 2000, and in 2008 it was $10,948. Residents of Oakland saw an average property tax bill going from $5,389 to $9,596.
This is a state wide problem. If elected officials cannot spend money, they are often at a loss as to how to justify their existence. This situation is exemplified by Councilwoman Ramsey who at a recent council meeting seemed confused as to why the council was spending time discussing plans for which there is no money. In Wyckoff, the township committee has been rolling out various resolutions seeking relief from unfunded state mandates that restrict their ability to enact fiscally responsible budgets. One recent appeal from Wyckoff called for the state to reform the arbitration laws which control contracts for police and teacher unions; the argument being that the institutionalized process leaves local municipalities devoid of any negotiating powers.
The towns of Franklin Lakes, Wyckoff, and Oakland receive very limited state aid in comparison to other towns in Bergen County, much less the state. Aid from the state, used to offset the cost of municipal services, was under 8% for the 3 towns in 2008. The same situation exists with respect to school funding with the state providing a mere 6% of the budget needed to run the school districts. New Jersey on a federal level is always a donor state in terms of providing tax dollars that are used to build bridges and roads in other states, and the towns of Franklin Lakes, Wyckoff and Oakland are donor towns with respect to funding projects in other municipalities and counties.