If you’ve been living in Aberdeen a while, have you noticed a change?
Have you noticed that big projects never seem to get done anymore? Transit station, swim club, Glass Anchor, senior housing, everything seems to be in limbo.
Have you noticed the money problems getting worse? That Aberdeen no longer maintains a rainy day fund, that its credit rating has been cut, or that it might, on occasion, need to raid the public library’s coffers?
Have you noticed retirees increasingly leaving Aberdeen to escape the high property taxes?
Have you noticed more vacant properties in the area? (Ten more sheriff sales scheduled for September.)
Have you noticed certain programs getting cut and the money never seems to be restored?
Have you noticed few seem to care and nobody does anything about it?
This is what a death spiral looks like. It starts slow and nobody cares. It speeds up and everyone pretends someone else will fix the problem. And then . . . collapse.
Need more evidence?
2006 Pension Contributions:
Police and Firemen - $238,883
Public Employees - $51,558
2013 Pension Contributions:
Police and Firemen - $945,052
Public Employees - $248,170
Percent Increase over 7 Years:
Police and Firemen - 396%
Public Employees – 481%
2007 Employee Group Health - $810,000 (2006 numbers unavailable)
2013 Employee Group Health - $1,640,804
% Increase over 6 Years – 203%
Budget is policy.
Budget is spin.
Budget is sleight of hand.
In Aberdeen, budget is all of the above.
Although the final budget was adopted a month ago, the final numbers have not been posted and we’re reduced to relying upon “press releases” from the town council. Still, we do have the initially proposed budget and the final numbers are likely similar. The initial budget also provides a great window into the township’s budget approach.
Sheet 3B of the initial budget states the following:
Maximum Allowable Amount to be Raised by Taxation 10,690,838
Amount to be Raised by Taxation for Municipal Purposes 10,690,314
The township started the budgeting process from the maximum amount it could tax residents and then worked backwards, looking to make small cuts here and there.
>>> Read more!
"Those are just some
of the things that the town provides to the residents for essentially $121 a
month," Councilman Gregory Cannon said. "That's less than my cable
bill." – Matawan-Aberdeen Patch, March 25, 2013
Give Councilman Cannon
credit for saying what everyone on the council was thinking. “Don’t worry. You
can afford another tax increase. Taxes too high? It’s not our fault. We spend
so little. We really are doing a great job spending your money.”
I wonder if there’s a
single homeowner whose cable bill is higher than his property taxes.
Oh, you say, I make an
unfair comparison. After all, the municipality only controls municipal taxes.
It’s not the council’s fault that you’re also taxed for school, county, fire,
sanitation, and sewage.
I think the comparison is
quite fair.
First, the “average”
homeowner pays far more than $121 a month once you exclude apartments and
condos from the mix. (No offense to Councilman Cannon.)
Second, the council budget
is $16.3 million, $5.6 million above the tax levy. Where does Councilman Cannon
think that money comes from if not the taxpayer? And even that number doesn’t
include the two fire districts, over another million dollars a year. Nor does
the budget include the full cost of the road program, millions a year paid with
IOUs. Debt payments have skyrocketed 15% in one year and now account for nearly
a tenth of the budget.
And what happened to the
reserves? In 2006, the township had $7.6 million in reserves. Now, it’s half
that.
As for the school
district, the fact that it costs an average $15,000 to educate one child hasn’t
discouraged the township one whit from residential housing. But all the
non-residential development, those projects that would actually reduce property
taxes, have been in “development” for a decade. Then again, what can you expect
when the town engineer is bankrolling every election.
Of course, council members
can shield themselves from tax increases by voting salary increases for
themselves, which they do.
Total municipal spending
including all the township’s branches of government, is over $50 million a year
or, using Councilman Cannon’s “average homeowner”, about $600 a month. That’s awfully close to the "average" property tax bill not to mention a
lot of cable.
Here’s a different comparison
for Councilman Cannon – How many councilmen have municipal salaries higher than
their property taxes? Maybe they should learn to pay their own property taxes like
everybody else
>>> Read more!
Since the good people of Aberdeen have supported their monolithic democratic town council for over a decade, I have to assume to following will be welcome news.
By all accounts, the Aberdeen Democrats are expected to retain monolithic control of the town council following this Tuesday’s election. And, since this is a democracy and the Democrats have an extensive public record, it can only be assumed the township enjoys the following:
Pay-to-Play – The township engineer gets over a million dollars a year after contributing tens of thousands of dollars to the Democrats’ election efforts. A convicted felon was appointed lead developer for the transit developer after depositing $100,000 in a township slush fund. The town’s attorneys, planners, accountants, and many of the developers are regular contributors to the Democrats’ coffers.
Full Non-Disclosure – After the Democrats’ election filings were prominently posted on this blog, including the “consulting fees” to Councilman Vinci, the Democrats engineered the campaigns and fundraising so that not a single contributor would be revealed. This year, alone, the democrats have already declared $35,000 in contributions but not a single donor who gave more than $300.
>>> Read more!
"That ain't working, that's the way you do it
Money for nothing and your chicks for free" - Dire Straits
Wonderful news. Aberdeen’s town council has found a way to save a million dollars in electric bills over the next fifteen years and get a free roof to boot. And, if you believe that, there’s more wonderful news. The senior housing center on Church St. will finally be developed. As will the transit village, Anchor Glass, and Aberdeen Forge. And, between the cost savings and new ratables, residents will finally see some tax relief.
Find it all a bit hard to believe? You’re not the only one.
Last June, the township issued an RFP for a company to build and maintain, at its own expense, solar panels for township properties plus install a new roof for town hall and then charge the township for the electricity generated by the solar panels at sub-market rates.
New Jersey has the fastest growing solar power market in the country so you’d think there'd be a lot of competition for such a plum assignment. Yet, only one company responded. Nexus Energy Solutions, a spin-off from Nexus Development, has no experience building or installing solar panels aside from having hired other companies to install solar panels at its office headquarters and parking garage.
By coincidence, I’m sure, Nexus is also a regular contributor to the state’s Democratic Party. Another coincidence, I’m equally sure, is that the town council is all Democrat and has a well-documented history of pay-to-play.
Anyways, despite having roughly the same experience as any homeowner who hired a contractor to install solar panels on his roof, Nexus’ proposals received an average score of 93 out of 100 in the township’s proposal review.
>>> Read more!
Just when you thought it was safe to go back into Town Hall, the council has launched a classic case of pay-to-play just in time for election season.
RESOLUTION NO. 2011-97
RESOLUTION EXTENDING DESIGNATION OF SILVER OAK PROPERTIES, INC. AS REDEVELOPER FOR
THE PROPERTIES LOCATED WITHIN THE
ABERDEEN COMMERCE & TRANSPORTATION
CENTER REDEVELOPMENT AREA FOR
THE DEVELOPMENT OF A MIXED USE PROJECT
To capture the full breadth of outrageousness, let’s walk through all the steps.
First, a town council with a well-deserved reputation for pay-to-play designates a felon, who spent prison-time for flagrantly attempting to bribe an IRS auditor, as the lead developer for the town’s most prominent project, the proposed transit village.
Next, the town council gives a brief history and seeks to justify the shameful appointment.
>>> Read more!
Considering the township always produces lower tax hikes during an election year than an off year, it’s very tempting to say this year’s municipal budget is just another election scam. However, I’m tempted to believe it’s more evidence that interim town manager, Holly Reycraft, is doing her job.
Taxes are nearly flat, about a 0.6% increase over last year, or $8 a year for the typical property owner. Employee benefits were brought under control. The police department cut salary expenditures.
Now, we have another first for the township.
Historically, the library budget never appeared in the municipal budget but it was secretly included in the tax base. When the state imposed a cap on municipal tax increases, including the library tax as part of the tax base gave the township about a 10% boost in how much it was allowed to raise property taxes.
For example, if the township had a tax base of $7.5 milllion a 4% state-imposed cap would have restricted tax increases to $300,000. However, if the library $750,000 tax revenue was added to the township’s base, then the cap would have been a $330,000 increase.
In truth, the township has always worked around the cap, raising taxes on average 10% a year for the past number of years, but now they’ll have one less gimmick to use.
Under the revised budget, library taxes are broken out as a separate item and are no longer calculated toward the cap (Sheet 3b). It’s another step towards a more honest and fiscally conservative budget.
Since the town’s on a roll, maybe it can do something with the $100,000 slush fund that’s still “dedicated” to Councilman Vinci’s intersection, even though it’s been built for years. Or maybe actually use the $39,000 dedicated towards the Henry Hudson Trail (page 9). >>> Read more!
Too often, the taxpayers feel they work for the government rather than the other way around. In that light, we should take great pride in the recent actions of the Aberdeen Township Police Department. In addition to the great work they consistently do, the police department recently responded to two criticisms voiced on this blog:
1) The department needs to cut spending
2) The department should maintain a public police blotter
Well, the police department has done both. The final town budget notes a $30,000 cut in police wages and salary from the original proposal (probably in reduced overtime). Granted, even after this haircut, department wages will still increase 4.7% over last year. However, it remains precedent setting. This is the first time I ever recall seeing a budgeted salary decrease that didn’t involve a termination.
The cut also creates a new baseline and will hopefully translate into annual savings for years to come as well as reduced pension obligations.
Next, the police department has launched an online police blotter. Considering a police officer’s primary duty is to uphold the law and prevent crime, I’m happy to see the arrests have not been for major criminal activity.
Special thanks to Chief of Police Powers. >>> Read more!
Considering the resounding approval of the school district budget “despite” remarkably low turnout, it seems almost frivolous to dissect the much smaller township budget. However, for the few fiscal conservatives left in town and those on the town council driving towards a more prominent slice of the property tax, this review is for you.
2011 | 2010 | Increase | |
| Municipal Budget | 15246563 | 15154052 | 0.61% |
| Municipal Tax Levey | 9604371 | 9137212 | 5.11% |
| Police Salaries | 3953719 | 3748020 | 5.49% |
| Health Insurance | 1663000 | 1604000 | 3.68% |
| Police Pension | 896988 | 692192 | 29.59% |
| Public Employees Pension | 262417 | 195400 | 34.30% |
| Capital Improvement Fund | 160000 | 100000 | 60.00% |
| Sewer Salaries | 537388 | 483855 | 11.06% |
| Municipal Debt Service | 1217902 | 1813703 | -32.85% |
| Bond Principal | 701112 | 1201111 | -41.63% |
| Bond Anticipation | 160000 | 75000 | 113.33% |
| Interest Bonds | 276791 | 331068 | -16.39% |
| Interest Notes | 79999 | 206524 | -61.26% |
| Water - Interest Bonds | 2750 | 5404 | -49.11% |
| Water - Interest Notes | 41000 | 71645 | -42.77% |
"Don’t place your trust in princes" - Psalms 146
When the Bernie Madoff story first broke, the public was incredulous that one man could steal so much. Then, as details emerged, the public was incredulous that otherwise intelligent people could be so stupid when it came to their lifesavings. How could anyone believe a financial guru who claims to deliver consistent returns regardless of market conditions?
Well, I could think of a whole bunch of people who act just like that. Specifically, the public sector unions. Public union workers spend hundreds of millions of dollars a year to elect political halfwits who know nothing about finance but promise lavish retirement benefits to be delivered long after their terms expire. Then, for reasons unknown, these government employees, who should know better than anyone, plan their entire retirement around these empty promises from unaccountable politicians long gone.
Here’s the list of former Aberdeen employees earning a government “guaranteed” pension. The dollar amounts don’t include health benefits, Social Security, Medicare, Medicaid, or any other program.
Here are some quick tidbits –
Ah, you say, we don’t have to worry about that because the state manages a pension fund.
Well, about that fund.
Pension funds are supposed to work as follows – Each year they get a little larger so that the investment income earned is enough to cover payouts without endangering the principal. Unfortunately, the state pension plans are designed to fail for several reasons.
Using the Teachers Pension and Annuity Fund as an example, consider the following –
In 2000-01, the TPAF paid out $1.33 billion in benefits. In 2009-10, the payout was $3.08 billion, a 230% increase in just nine years.
During that same time period, the fund itself has shrunk from $31.05 billion to $25.89 billion. In other words, over a nine-year period, the ratio of assets to one-year payouts, has dropped from 23.35 to 8.41.
The dramatic fall in pension assets occurred despite a sharp rise in pension contributions, an increase from $371.6 million in 2000-01 to $658.8 million in 2009-2010.
As the chart below shows (all numbers in billions), even assuming rosy projections, as the state likes to do, that contributions will increase 8% a year, net return on investments will consistently run a little over 5% a year, and pension liabilities, in contrast to history and common sense, will only increase 4% a year, the Teachers Annuity and Pension Fund will go bankrupt in under 15 years.
Year Withdrawal Contribution Assets
2010 3.08 0.66 25.89
2011 3.2032 0.7128 24.6941
2012 3.331328 0.769824 23.3673
2013 3.464581 0.83141 21.90249
2014 3.603164 0.897923 20.29238
2015 3.747291 0.969757 18.52946
2016 3.897183 1.047337 16.60609
2017 4.05307 1.131124 14.51445
2018 4.215193 1.221614 12.24659
2019 4.3838 1.319343 9.794465
2020 4.559152 1.42489 7.149926
2021 4.741518 1.538882 4.304786
2022 4.931179 1.661992 1.250838
2023 5.128426 1.794952 -2.0201
2024 5.333563 1.938548 -5.51612
2025 5.546906 2.093632 -9.2452
The unions’ response will be to declare unfunded pensions and health benefits are the state’s problem and the state must fix it. In other words, the unions will turn to the very political process that put them in the whole in the first place. Imagine what will happen if they get their wish. >>> Read more!
Well, we all saw this coming, at least everybody but the developer, our “dear leaders” on the town council, and their political hacks on Aberdeen’s planning board and zoning board. Six years after being built, the Cambridge Park development remains over three-quarters empty. The one sale went to a Californian transplant whose employer fronted half the mortgage.
The developer continues to “update” the year built – now showing 2009 – and maintain the properties, but no amount of window dressing will hide the plain fact that the lots are too small. The house at 75 Cambridge practically touches its property borders on all sides. The other homes lack fences and decks to maximize their puny yards.
The four houses plus the undeveloped lot in the back provide the town an annual windfall of $50,000. But those short-term gains will soon become long-term losses.
Tax sale certificates, totaling over $30,000, have been sold against the three vacant houses indicating the developer may be struggling to maintain the properties. If so, the homes will be forced down to market prices. Once occupied, even an average of one public school child per house will cost the district over $5,000 per house. At two children per house, the development would lose the town $75,000 a year.
Of course, by the town council’s calculation, even if each house was home to a dozen kids, the municipal tax rate would still drop from the additional ratables and the inevitable school tax hikes would be blamed on someone else.
Meanwhile, the neighbors can’t be too pleased with an oversized empty development. Which brings us back to the original point – What was the town council thinking? >>> Read more!
According the to the National Bureau of Economic Research, the “Great Recession” began in December 2007. Though technically over, we still have high unemployment, lackluster growth, looming inflation, and unsustainable government spending and debt.
Aberdeen’s police contract covers this time period, 2008-2011.
As a whole, the Aberdeen Township Police Department, including salaries, benefits, and other operational expenses, will run over $5 million this year. Here’s a breakdown on why it costs so much.
Salary
As can be seen from the below chart, officers received a 3-year salary increase ranging from nearly 17% for senior officers to 63% for junior officers. Police officers begin earning over $100,000 a year after 7 years on the force.
Officers also have the opportunity to earn time and a half for overtime and up to $1,000 a year for unused sick time (not including a lump sum payout at retirement). Detectives earn an extra $3,000 a year.
2008 20011 3-Year Growth
0 Year*42,379 69,185 63.25%
1 Year 52,592 75,192 42.97%
2 Year 56,851 81,741 43.78%
3 Year 61,773 89,671 45.16%
4 Year 67,136 100,812 50.16%
5 Year 72,983 100,812 38.13%
6 Year 80,064 100,812 25.91%
7 Year 86,186 100,812 16.97%
*During the first year, officers receive different salaries between the first six months and the second six months. I averaged the two.
Sick Time and Vacation Days
Like schoolteachers, sick time is cumulative. Although the final payout is capped, there doesn’t appear to be any barrier to a 20-year veteran simply calling in sick the entire last year of service.
Police officers receive 15 sick days per year in addition to 15 vacation days. (20-year vets get 22 vacation days.) Officers have the option to cash-in up to 5 unused vacation days per year.
Job Protection
Also like schoolteachers, police officers are protected by seniority – any reduction in force would first hit the most junior officers.
Health Insurance
In addition to a $2,000 deductible, here are their out-of-pocket expenses:
Current Employee Contributions
Medical single $312
Medical Family $528
Current Employee Contributions
Dental $80.00
Rx Single $120
Rx Family $264
Co-Pays
Doctor Visits $20.00
Emergency Room $50.00
Rx (prescriptions) $10/20
Retirement
After 25 years of service, through the Police and Firemen's Retirement System, officers can retire at age 55, with full health benefits for life, and a guaranteed pension equal to 65% of their final year’s base pay.
New Jersey residents have the nation’s largest unfunded pension liability per capita with a total unfunded pension liability at $53.9 billion. That’s on top of an unfounded liability for health care costs at $66.8 billion. By comparison, the entire state budget last year was $29.4 billion.
Naturally, living in a free, secure, and healthy environment is worth all this and much more but that’s not how prices are set. If they were, water would cost more than gold. Instead, the only question is cost – How much does it cost to attract and retain a highly motivated and excellent police force?
It would be nice to think $5 million a year is enough but we all know that number will be going up and up and up. >>> Read more!
Aberdeen’s town council must’ve thought it was pretty funny passing a budget nine months after the fiscal year had already begun because they recently performed an encore, posting the 2010 budget in 2011. Heaven forbid the taxpayers might want to know how their money is being spent.
These pages have detailed before the skyrocketing taxes and plummeting reserves but, with a budget like Aberdeen’s, it’s so chock full of surprises there’s always something new to discover.
The latest nugget is the township’s Cadillac group healthcare plans. At $1,604,000 for 85 employees, that’s nearly $19,000 per employee. (See sheet 14) Considering that’s just an average, we can only imagine what a family plan must cost.
Healthcare is also the fastest growing part of the budget, having doubled from $810,000 in only four years.
It’s all the more shocking considering the town council’s repeated claims of tackling healthcare costs. In June, 2009, Mayor Sobel stated, ”health insurance costs and contractual costs skyrocketed this year. That is why we changed our health insurance carrier to save $300,000 a year.“
Three months later, Mayor Sobel insisted, “next year we will see a savings from our health insurance.”
The town even issued a press release announcing, “Savings from this strategic move should be realized beginning in the first quarter of 2010.”
In fact, over that “next year”, insurance costs rose 35%, adding another $400,000 to the budget.
Thank goodness for the savings. I guess the next announcement will be about ending play-to-play. Oh, wait. Aberdeen already did that one too. >>> Read more!
Last month, I wrote the following: “The township’s ‘secret plan’ is to offset [future] spending increases with new development through PILOT programs.”
Sure enough, last week Aberdeen Township posted an RFQ for an “Attorney experienced in Pilot Agreements”. And, as predicted, the town council will use the PILOT programs to hoard the lion’s share of projected revenue from all major new developments, such as the new housing projects on County Road and Rt. 34. The town council will use the new funds to mask increased spending and crow about holding down taxes while the school district is burdened with integrating and educating the influx of new students.
Next to appear will be the reappointments of Aberdeen’s three stooges –
Town Attorney Dan McCarthy – Infamously lied to the town council and over a 100 residents at a packed public meeting that Aberdeen would lose its COAH certification in two days if the council did not approve unwanted housing development despite knowing Aberdeen wasn’t even on COAH’s agenda for that month.
Town Planning/Zoning Board Attorney, Michael Leckstein – First denied residents the right to make comments at a public meeting. Then threatened to use “police force” against those residents who asserted their right to speak.
Town Planner Richard Coppola – He was against the COAH housing before he was for it.
These three stooges kept telling us that we had no choice but to accept a massive COAH development on County Rd. and an accompanying development on Rt. 34, that it was a done deal, and the town council would be acting irresponsibly if it did not approve the development.
Shortly thereafter, the developer contacted the Cliffwood Housing Association, negotiated a smaller development, and the town council quickly claimed credit.
These three stooges will all be reappointed. After all, pay-to-play, patronage, and political corruption has its privileges.
Then there’s Tom Fallon, our eternal auditor, who never ever warns the township it’s burning through all its reserves. His father, a fellow CPA with whom Tom worked, was a bigwig in the Monmouth County Democratic Party until he went to jail for bribing a public official.
Talking about jailbirds, let’s not forget our famed transit village developer, William Bocra, who sat in prison for bribing an IRS official. Or former Aberdeen Forge developer, Anthony Spalliero, also convicted of bribing a public official, who died last month.
(Yes, our town does have a penchant for felons and their families. It’s no surprise given the council’s willingness to skirt the law – See the last campaign where a majority of the council conspired to circumvent campaign disclosure rules or just think of retired policeman Vincent Vinci.)
Of course, the trophy goes to CME Engineering, a firm that bills for nothing but time yet scores over a million dollars a year in a small town of 6,000 homes and a smattering of businesses. Not that CME hasn’t earned it. Without its generous support, the Aberdeen Democrats may not have been able to maintain monolithic control of the council for the past decade.
This dreary show repeats itself every year and gets more expensive with each showing. The public knows it, hates it, but believes that’s the cost of living in America.
Not so. It’s just the cost of living in Aberdeen. >>> Read more!
For over a year, Joe Criscuolo, the recently departed town manager, had been rumored to be leaving Aberdeen Township, whether willingly or not. And, he looks to be moving up, garnering a job in his hometown of Old Bridge, earning an additional $10,000. Excluding the previous town manager, Aberdeen has earned a reputation of rewarding its cherished employees (see Coren, Kelly, Lauro, etc.) and this seems to be part of that tradition. But, what makes this story remarkable is the advertisement seeking a new town manager.
TOWNSHIP MANAGER – ABERDEEN TOWNSHIP,MONMOUTH COUNTY. 18,000 population, $18M municipal budget, 85 FT Employees. Council/Manager form of Government. Seeking experienced professional to serve as CEO, oversee all daily operations and report to 7 Council members, including the Mayor. Must be highly motivated, goal/results oriented and have excellent communication skills to deal with all levels of government and community. Must have a strong financial background. Responsibilities include overseeing municipal services, capital planning and labor relations. Must have 5+ years experience in municipal government management. Bachelor’s degree required. MPA preferred. Salary range DOQ/DOE. Send 8 copies of resume and cover letter, including salary requirements to: Fred Tagliarini, 19 Faith Lane, Aberdeen, NJ 07747 Ad Posted January 14, 2011 Ad Removed February 28, 2011. [Bold added for emphasis]
How bizarre. I can’t imagine the school board president requesting all job applications for the superintendent’s position be sent to his home. Nor has any other town’s job posting at the League of Municipalities made a similar request. The question is why.
One possibility is convenience except that receiving the applications at home is inconvenient since the other council members will now need to wait until Mayor Tagliarini distributes the applications. Furthermore, he will be responsible for storing and distributing the applications rather than a town employee.
Perhaps the issue is confidentiality, that the council doesn’t want any town employee to be privy to whom has applied. If so, why has the township requested “8 copies”? Who will receive the 8th copy?
The process is troubling because the mayor, first among peers on the town council, has now been appointed gatekeeper of all the applications. By default, he has the ability to exclude any application from consideration.
Another problem is, given Aberdeen’s troubling history of political patronage, the town council has given the residents one more reason to believe the fix is in.
Finally, we’re still left with the original question. Why instruct applicants to mail their resumes to the mayor’s home? >>> Read more!
Across the nation, there’s been a lot of talk about the public sector’s salaries, work benefits, health plans, and pensions. And there’s no reason to exempt Aberdeen Township from the discussion.
Among the top earners, 1st prize goes to our former police chief, Joseph Kelly, who’s receiving an annual pension of $104,000. 2nd prize goes to our councilman, James Lauro. After serving our community for over 40 years, with a final average salary of $145,563.67, Councilman Lauro is earning an annual pension of $98,569.68, plus another $13,000 a year for his service as councilman and fire commissioner. (Need we mention again that he voted last year to raise his commissioner’s salary?) The booby prize goes to our disgraced former town manager, Mark Coren, who’s receiving an annual pension of $82,000 plus health coverage.
Last year, John Quinn earned $104,000 from the township and another $36,000 from Matawan. Police Chief John Powers earned $138,000 and his number two, Richard Derechailo earned $132,000. Town Manager, Joe Criscuolo only earned $122,000.
Of the township’s 35 police officers, 29 earned above $92,000, another two officers earned $88,000, and only the remaining four officers were below the highest brackets.
I bear no grudge against anyone for earning the above salaries. To my knowledge, none of the above ever threatened to endanger the township during contract negotiations and every person is entitled to honorably pursue the highest salary and benefits he can muster. Furthermore, excluding the pay-to-play payoffs, the vast majority of the township employees have performed exemplary.
However, the question for the taxpayers is whether the community can afford such generous compensation or if we can get the same outstanding service at a lower cost.
A simple resolution at the state level would be to cap the benefits of future retirees and, once the public employee has reached his cap, all further retirement contributions would be diverted to a 401K plan. Till then, the only alternative is to reduce headcount and outsource services.
On a side note, an anonymous commenter took issue with me including the salary history of the teachers union officers as one of the factors prompting tax increases, arguing their salaries are a tiny part of the overall budget. Well, I hope the commenter isn’t one of our math teachers.
The current crop of union officers saw their salaries increase a combined $162,091.60 from 2006 to 2009. During that same period, the school tax levy increased $1,407,437. Not including pension liabilities, those 12 union officers accounted for 11.5% of the school property tax increases. And, unlike the above mentioned township workers, the union officers have frequently undermined our children’s education and threatened the operation of our school district. >>> Read more!
