Budget Blues: While State Aid Remains Steady, Surplus Estimate Drops

While N.J. aid to Cranford remained steady, the township surplus – much less than originally believed – is yet another bump in the road for officials attempting to pare down the township budget beneath the state-mandated 2-percent property tax cap. 

 Township officials announced the budget wrinkle to the public this week at Tuesday's meeting, saying that the township auditor at a Feb. 17 meeting informed the Committee that the surplus hovers around $58,000 – much less than the $1 million estimate.

"(That's) a substantial amount, which makes the budget gap even more difficult," Aschenbach said. 

About $550,000 of the gap is due to 13 unpaid settled tax appeals, commissioner Edward O'Malley told Patch, adding that it's common for the number of tax appeals to increase during recessions.

The rest of the gap is due to "unforeseen expenditures,” Township Administrator Marlena  Schmidt said at Tuesday’s meeting.

 The surplus hole is yet another bad stroke of luck in a continuing battle against the budget numbers waged by the Township Committee since Jan. 1.

After swearing-in new members, commissioners began working with municipal professionals to craft this year's budget early January, holding five special fiscal meetings in total with the sole purpose of drafting the budget. 

The last meeting occurred on Feb. 17 with the auditor and labor attorney present, almost entirely conducted in a session closed to the public. Although he did not divulge items discussed behind closed doors, Aschenbach told members of the media that Cranford is facing tough budget hurdles, adding that more information will be available at the 7:30 p.m. March 3 meeting taking place in the municipal building.

Officials also received word this week that state aid  funneled to Cranford did not drop below last year's levels, said Mayor Daniel Aschenbach at a township meeting Tuesday night. 

According to the Division of Local Government Services, Cranford receives $2,900,712 total from the 2011-2012 N.J. aid program.