Bloomingdale Municipal Budget Introduced

The municipal budget for the 2012 fiscal year was introduced by title at the borough council meeting Tuesday night.

The introduced budget is increased more than $700,000 over . As the borough is mandated by the state to not surpass a 2 percent tax levy increase, the council needs to shave off at least $575,000 before the budget is finalized.

With two months before the budget reaches its public hearing on June 26, council members expressed confidence that they can reduce costs and find new revenues without cutting essential services.

“Last year, our budget was originally introduced $900,000 over [the 2 percent tax levy increase],” Councilwoman Linda Shortman said.

Since they were able to chip away from that number last year, she said the council’s committees, along with the administration and auditor, should have no problems cutting out $575,000.

However, Councilman Ray Yazdi implored the audience not to be confused by comparisons to last year’s budget, saying the budget process was approached differently this year.

Yazdi said that whereas the council had asked each of the borough’s departments last year what they would like, they were told this year they would not receive any additional money. As a result, he said the requests came in equal to or less than what each department had received last year.

“This $575,000 is not a wish list,” Yazdi said. “It’s contractual obligations, likes raises and insurance policies that have gone up. If we had allowed those wish lists to come in again, [the budget] would have been more like $1.5 million over.”

Mayor Jonathan Dunleavy said one of the budget’s saving graces will be the , although he said he has mixed feelings on viewing the plan as such.

“The fees from Avalon Bay are going to help bail out our problems,” Dunleavy said. “The part that angers me is the reason why we promote and move along such developments is to build a surplus and use it as an investment going forward.”

Councilman John D’Amato said he was concerned about the detailed report the council had received from Borough Auditor Dieter Lerch. Yazdi, who along with D’Amato voted against , said that, in comparison from last year to this year, there was a $392,000 shortfall in revenues and $633,000 increase in expenses.

“Our auditor was here and was asked specifically, 'Do we have over a $500,000 problem?'" D’Amato said. “And I believe he said it was $164,000.”

Although he admitted it might not have been the best time to do so, D'Amato asked for the council to once again reconsider Lerch as the borough’s auditor.

“I don’t want to say he was untruthful, but it was denied that we have a major problem, which we do,” D'Amato said.

Shortman responded by advising that the discussion should be held at the committee level – not publicly – in the presence of the auditor, financial experts and Borough Administrator Ted Ehrenburg.

“Since we’re introducing the budget tonight and the budget committee has a lot of work to do, I’d appreciate us getting together and coming up with some days to do that,” Shortman said.