Atlantic County Tax Rate Likely to Decrease

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Atlantic County Executive Dennis Levinson. (Photo courtesy Atlantic County)

By NANETTE LoBIONDO GALLOWAY

According to Atlantic County Executive Dennis Levinson, the 2022 county tax rate could decrease 1.5 cents, but final numbers are not available due to the ongoing Atlantic City Casino PILOT controversy.

The budget message he provided at the Jan. 18 Board of County Commissioners meeting did not include introduction of the budget, but an overview of “where we find ourselves at this time.” The budget will be introduced at a later date, he said.

Levinson chastised the State of New Jersey for refusing to mediate a dispute between Atlantic County government and the state Legislature, which passed a new multi-year PILOT bill that benefits the Atlantic City casino industry. Levinson said the amended PILOT violates a previous settlement that provided the county with a 13.5% payment on certain gross gaming revenues.

A preliminary look at the budget before the issue gets settled shows Atlantic County taxpayers could see a $160.4 million tax levy, which carries a 1.5-cents tax rate decrease, not including any loss of PILOT funding. For a property owner with a house assessed at $400,000, the decrease would be about $60, he said.

Levinson called the change in the PILOT legislation “an attack on Atlantic County taxpayers.”

The county could lose about $ 30 million in revenue over the next five years, but the casinos will gain $55 million, Levinson said. The state refused to participate in a mediation session and instead will head to court to settle Atlantic County’s challenge. A hearing will be held on Feb. 8.

“Atlantic County is prepared once again to fight for what was promised and agreed to in open court,” he said.

After some discussion about the “discovery” portion of the lawsuit, the Board of County Commissioners unanimously approved a resolution supporting Levinson’s challenge.

Other than that, “we’re doing pretty good,” Levinson said.

On a positive note, Levinson said the county established a centralized municipal court shared service system in Mays Landing – the first of its kind in the state – which will save municipalities on the cost of running their courts and provide much needed outreach services for those impacted by addiction, mental illness or domestic violence.

The American Rescue Plan will provide funding to continue the fight against COVID-19, including $1.6 million for sanitation at the Meadowview Nursing Home, Harborfields Youth Detention Center and the county jail.

Also, the federal aid package will provide funding to upgrade drainage systems and repair a sinkhole at the Shoreview Building in Northfield, upgrading HVAC systems to meet federal air quality standards and replace pump stations in Ventnor/Margate and Pleasantville.

Levinson said the less than 1% increase to the budget came from the increase in the cost of elections to cover additional staff, vote-by-mail, early voting, and enhanced technology and security. Other line item increases will cover public pensions, insurance, payroll taxes, rents, fuel and a $1.9 million capital improvement plan.

Executive Budget Message – Jan. 18, 2022