HomeMy Public PortalAboutr 11-116No. 11 -116 _ Date of Adoptio W 16,
J 2 7ll
Resolution Urging the Swift Passage of S- 2762/A -4084
WHEREAS, Senator Buono and Assemblyman Coutinho have introduced S -2762 and
A -4084, respectively, which permits a municipality to pay commercial and industrial
property tax refunds for tax year 2010 and 2011 over subsequent three local budget years;
and
WHEREAS, municipalities do rely and encourage business development in their
community for economic growth; and
WHEREAS, unlike a residential tax appeals, commercial and industrial property owners
must submit an income statement when filing their appeal as net income generated by
property has a direct bearing on the ability to market the property and therefore it is
value; and
WHEREAS, successful tax appeals shifts the burden of the appeal to the rest of the
taxpayers within the community; and
WHEREAS, S -2762 and A4084 will provide municipalities with a temporary tool to
assist in planning and controlling their financial budgets during this influx of appeals; and
WHEREAS, the governing body of the Borough of Carteret supports the need for the
legislation to address property tax refunds for commercial and industrial properties and
firmly believes that by allowing phased refunds on successful commercial and industrial
property appeals, these bills will provide substantial relief for many residential
taxpayers; and
WHEREAS, the League of Municipalities recently conducted a survey that measured the
extent to which property owners filed and won tax appeals in 2010, in which 150
municipalities, representing a cross section of the state, participated; and
WHEREAS, those participating in the survey reported property value declines of more
than $87,900,000, which resulted from 19,788 tax appeals filed in 2010; and
WHEREAS, those responding to the survey indicated that 13,760 appeals were filed in
2009, compared to 19,788 in 2010, representing an increase of 43.7 %; and
WHEREAS, while a municipality will often experience an increase in tax appeals
because they have conducted a revaluation, only 5 of the 150 municipalities, which
participated in our survey, indicated that their 2010 appeals resulted from revaluations
compared to the 23 of the participating municipalities conducted revaluations in 2009,
when fewer tax appeals were presented to the County Tax Boards; and
WHEREAS, the 2010 spike in appeals should be attributed to the economic down -tam,
which lowered property values and placed increased stress on the income of property
owners, all around our Garden State; and
NO. 11 -116
PAG
WHEREAS, although the survey was a snapshot picture in time, it can be used to project
what might follow in 2011 and beyond, since the reductions, which were granted by the
County Tax Boards will have a multiplier effect; and
WHEREAS, while New Jersey and this nation struggle to recover from one of the worst
economic crisis since the Great Depression, municipalities must be given the tools to
prevent increasing property taxes on already strained tax payers; and
WHEREAS, successful tax appeals impact fund balances and place additional pressures
on the local budget;
NOW, THEREFORE, BE IT RESOLVED, that the governing body of the Borough of
Carteret urges for the swift passage of S -2762 and A-4084 to provide municipalities with
an additional tool to prevent increasing property taxes on already strained taxpayers; and
BE IT FURTHER RESOLVED, that copies of this Resolution be forwarded to New
Jersey Governor Christopher Christie, to Senate President Stephen Sweeney, to Assembly
Speaker Sheila Oliver, to our State Senator, to our two Representatives in the General
Assembly, and to the New Jersey League of Municipalities.
Adopted tins 16th day of Am, 2011
and certified as a true copj of file
o riginal on ,hare 17, 2011.
MTHEM M. HAidU] Mt
Mrlfcipal Clerk
RECORD OF COUNCIL VOTE
COUNCILMAN
YES
NO
NY
A.B.
COUNCILMAN
YES
NO
NV
A.B.
BULM
X
MM
X
DIAZ
X
MUS
X
DIM' M
x
STTi1RZ
X - Indicate Vote AB-Absent NV - Not Voting
XOR - Indicates Vote to Overrate Veto
Adopted at a meeting of the Municipal Council
c.Jllne 16, 2011
CLERK
C'Z