In age of soaring taxes, township's rate hasn't increased since 1996

HARDYSTON-Property owners today will be paying the municipal share of their taxes at nearly the same rate as they did in 1996 n .664 cents for every thousand dollars of assessed value. What's more, they will be paying a half-cent less than they did last year. The proposed 2005 budget of $7,305,546 represents a 9 percent increase over the 2004 budget, and the township is adding new services. Yet Hardyston municipal government has held the line on taxes. How have they done it? "Good conservative fiscal management, a steady increase in residential and commercial development, and pay-as-you-go capital planning," said Township Manager Marianne Smith. Since 1996, the value of ratables in Hardyston has increased close to 50 percent, from $343,380 million to $570,828 million. A "ratable" is property subject by law to taxation. A healthy piece of that growth has been associated with the Crystal Springs development, a project purchased out of bankruptcy in the 1980s and developed into a residential and golfing complex. Although there are some 600 townhouses lining the fairways of the Crystal Springs and Wild Turkey golf courses, they are inhabited primarily by couples who either don't have children or whose children are grown; the 600 units contribute just 60 schoolchildren to local schools, keeping the impact of the development on schools and the tax rate low. The compact nature of the development also helps hold down the cost of providing services to it. By contrast, 600 single-family homes on large lots would swell the school population by some 1,000 children, at an annual educational cost of around $10,000 per child. "The new revenue helps us pay for increases in costs without taxing the residents more," said Smith. "We can spread the costs of running the township over a greater number of taxpayers. The market right now is good for development. " "Here in Hardyston," said Smith, "we use a business model, and we try to be proactive, not reactive. We don't want surprises, so we try to get ahead of events before they become crises, and we focus on long-term planning. If you have a growing community, you have to support it." Indeed, Hardyston is the envy n and the model n for many of its neighbors. Through aggressive courting of commercial enterprises, Franklin, which last year had the second highest municipal tax rate in the county after Newton, this year added enough new construction to lower its tax rate. And Vernon, whose tax base had become more than 90 percent residential, is looking to the resort housing going up at Mountain Creek to bring in nearly a million dollars of new tax revenue next year n without adding a single child to local schools. Hardyston doesn't have the lowest tax rate of the 23 municipalities in the county. That distinction, according to county records, belongs to Branchville, where residents pay an average of $2,880 a year on a house worth $150,000. Next lowest after Branchville are Lafayette, Andover Borough, Fredon and Montague. But Hardyston is in the lower third of municipalities, with the seventh-lowest tax rate. The owner of a home worth $150,000 pays $3,521 there. Vernon is in the middle of the pack with the tenth highest taxes, or $3,750 a year on a $150,000 house. Central to Hardyston's success is an economic development plan that considers the best interests of all the people. According to Smith, the township engineer makes it a point to work with developers before they begin the permit application process to ensure that the "bugs" are worked out. This keeps the process from bogging down. Hardyston has spent considerable time, thought and investment dollars to develop a realistic township-zoning plan. "I believe that a healthy community has all kinds of development that meet a variety of needs within the community," Smith said. "Planning for growth has to be tempered with a balance of attention towards maintaining the quality of life of residents, preserving open space and protecting environmentally sensitive areas." "Hardyston has made a big effort to be friendly to business," said Councilman Wayne Ross. The Economic Development Commission members have focused upon helping attract and maintain business in Hardyston. Ordinances specify what kinds of operations are permitted in each zone. The best locations for commercial and industrial development depend on municipal infrastructure, highway accessibility and overall suitability. Likewise, the township planners are clear about the density appropriate for each residential area. Where water and sewers exist, higher density development is allowed, whereas a much lower housing density is appropriate for environmentally sensitive land. Over 44 percent of Hardyston is devoted to open space, and areas that are within or adjacent to dedicated open spaces are strictly zoned to keep lots spacious. "We focus on planning exactly where we want to see growth, and we are proactive in advocating on behalf of positive development. The developers are held strictly to the land-use laws." The emphasis on resort-style condos and townhouses such as Crystal Springs inhabited by people who are either retired or nearing retirement helps. "People who buy second homes or retirement homes in this development minimize the impact on municipal services growth normally creates," Smith said. Indian Fields and Walden Village (Ridgefield Commons), like Crystal Springs, also were approved in the late 1980s and continue to build out today. Pay-as-you-go capital planning is central to Hardyston's fiscal policy. Paying cash whenever possible enables Hardyston to save thousands of dollars in debt service. For example, the furnishings for the new municipal/police complex will be a cash purchase. Large-ticket items are an exception to the policy, for example, the down payment for the 75-foot tower ladder truck the fire department needs. "We promised our taxpayers to hold the debt service costs for the new municipal/ police complex to 2002 levels, and we are succeeding. "We baby our vehicles to make them last, and we trade them in or auction them before they come valueless," said Smith. "Whenever we can use Morris County Co-op pricing, we do. Last year, we paid $1,000 to join the co-op, and saved around $50,000. The supplies the salt trucks use are a good example of where we saved by using co-op pricing." Hardyston also shares services with other municipalities to cut costs. For example, Hardyston and Sparta share animal control services, and Franklin and Hardyston share the Littell Recreation Center and township financial administration. Sussex County shares senior transportation costs. In 1986, Hardyston voters approved a change to a manager-council form of government. The manager runs day-to-day operations; the council sets policy. The system ensures consistency in leadership and is the keystone of township's capacity to monitor and contain costs. "There are no egos around here," said Smith. "Running this town is a team effort. The chain of command makes responsibilities clear. The council steers the ship so it does not go aground. What's more, the department heads are always looking for ways to do things better for less money." "Just as soon as I complete one budget, I'm figuring what we should do in 2006. Thinking about what's cooking keeps me focused. The bottom line is, Hardyston is a little bit blessed."