new_jersey government politics Dumont money
$600k from New Jersey
Thanks, New Jersey. This is an update
to my previous posting
about the financial mess in town.
Dumont gains a much-needed $600,000 boost
DUMONT - The borough will receive $600,000 from the state to help bail it out of $1.4 million deficit accrued during years of fiscal mismanagement.
Dumont - along with New Brunswick - will receive one of the highest grants from the state this year, according to the state Department of Community Affairs. …
The $600,000 in aid represents nearly half of the budget deficit. The borough is allowed to pay back the deficit over three years in exchange for letting the state oversee its financies. [sic]
I guess the state government did not want
the borough to fall like overripe fruit, thus the “grant.” But if
we're going to be paying it back over three years (that is, if the
local taxpayers are going to be paying it back), isn't it really
more of a “loan” instead?
Going by the 2000
census numbers
the sum translates to $34 per capita or $94 per household. Of course,
there's likely to be interest on top of it, plus the other half
of the deficit which will be reflected in near future tax increases,
plus the tax increase needed to cover future obligations, so I won't
be surprised if the impact is more like a couple of hundred dollar
per tax return.
It will hurt less this way than if we needed
to balance everything all at once. So my “thanks” isn't
meant ironically. But it is certain that things are going to be
a bit tighter for us taxpayers for the near term.