EXECUTIVE OFFICES

Presented: January 18, 2005
Dennis Levinson, County Executive

It is my great pleasure to present the Atlantic County Executive Budget for 2005. As has come to be expected, I would also like to use this opportunity to review our accomplishments from the previous year and to outline some of our key goals and objectives for the year ahead.

Atlantic County government remains in sound financial shape. For the fifth year in a row, we have received a clean audit with no findings. Last July, Standard & Poor's raised the rating on Atlantic County bonds. In increasing the county's rating, Standard & Poor's cited our "track record of good financial performance." They also noted that our financial position is characterized by healthy reserve levels and well established financial policies. We have never had to have an emergency appropriation requiring that taxes be raised to meet annual obligations. Nor have we ever had to issue tax anticipation notes in order to make it through the next budget cycle. Most important, we have always been able to maintain a stable tax rate.

The total Atlantic County budget for 2005 is $155,141,884.76. Our year end surplus is $17,304,663.91, of which $8,650,000, 50%, has been appropriated into the current year's budget.

Based on the best available information, we project the county tax rate for 2005 to be 33.8 cents - a decrease of just under four cents. This rate is the Equalized County Tax Rate. The actual county tax rate will vary in each municipality based on the ratio of real to assessed valuation.

What this means is that a home in Atlantic County assessed at $100,000, with an equalized county tax rate of 33.8 cents, will have a County Tax bill of $338.00. Given the same assessed value and last year's equalized county tax rate of .3789 cents, the County Tax bill would be $378.90. In other words, this year a taxpayer would see a decrease of $40.90 in his county taxes.

This year's tax rate, we are proud to say, is the lowest tax in Atlantic County's history. Keeping the tax rate this low is a significant achievement in light of the factors beyond our control that drive the cost of government. These include:

• 30% increase in the costs of our gasoline and diesel fuel requirements
• 13% increase in our utility costs
• 16.8% increase in street lighting costs
• 55% increase in our insurance premiums
• a whopping 219% increased pension costs which will continue to increase dramatically for the next four years due to state mandate.

A further financial challenge was presented by the need to address other extraordinary expenses such as:

• $626,000 in Homeland Security/Bioterrorism related expenses, an area of the budget that didn't even exist three years ago.
• $248,000 to meet new state mandated requirements for Storm Water drainage.
• $131,000 in new Elections related costs which include a down payment on new voting machines.
  

Even with these additional costs, this budget is an increase of only 4.61% from last year.

Several trends helped to shape this budget. Our regional economy and our population continue to grow. This growth brings with it greater economic opportunities, better access to quality medical care, more cultural and artistic events, and a greater variety of retail stores, shops and restaurants. However, growth also imposes a much greater demand on our transportation infrastructure and county services. The challenge that lies ahead of us in the coming years is how to properly and adequately address these demands while holding down the cost of county government.

We have established a solid foundation upon which we can build even greater success. I would like to mention a few of our major accomplishments from the previous year and highlight some of our key objectives for the year ahead.

• In 2004 we maintained an aggressive transportation infrastructure improvement program. In 2005 we intend to be equally aggressive. We are only waiting for NJDOT approval to begin construction at English Creek and Delilah Roads in Egg Harbor Township and Great Creek and Pitney in Galloway. Construction work will also start at Liepzig Avenue in Hamilton Township, Pitney Road in Galloway, Duerer Street in Egg Harbor City and Galloway, English Creek Avenue in Egg Harbor Township, Cape May Avenue in Estell Manor, Pleasant Mills Road in Mullica, Mill Road in Absecon, Shore Road in Northfield, Tilton Road in Northfield, Egg Harbor Road in Hammonton, Third Avenue in Hammonton, Mays Landing Somers Point Road in Somers Point, Exit 9 of the Expressway and Delilah Road, Pomona Road in Galloway Township, and Spruce Road and Wescoat Road in Egg Harbor Township. We will also begin the design work for Bears Head/Tuckahoe Road in Buena Vista Township, Jim Leeds and the Garden State Parkway and 6th Avenue and Jim Leeds, both in Galloway Township, Wrangleboro Road and River Road in Hamilton Township. We also will make significant repairs to the Liberty Street Bridge in Hammonton and the Dorset Avenue Bridge in Ventnor.
• In the coming year, our Department of Planning will continue its aggressive program to address the increasing problem of traffic congestion in Atlantic County. Addressing this challenging problem continues to be one of our highest priorities in the year ahead. We will continue to evaluate all intersections under county control, rank them and program them for improvement if necessary. The county will increase its efforts to get NJDOT to expedite improvements to intersections under their control that have impact on traffic levels and highway safety.
• A result of the comprehensive bridge management system developed and implemented by our Department of Planning and Engineering, we will be able to perform more comprehensive inspections and timely repair of all of the county's 157 bridges in the coming year. These inspections will be done in coordination with NJDOT which conducts regular inspection of our major bridges every two years. Many of our county bridges are between 75 and 100 years old.
• In 2004 we completed work on the new Criminal Court Complex in Mays Landing. I am pleased to report that this $40 million project came in under budget. The facility now houses the Office of the Prosecutor, the Sheriff and the Criminal Courts.
• We acquired 367 acres of additional open space and executed agreements for 2,250 acres of farmlands preservation through development rights on seven county farms. We hope to go to settlement on these properties in the coming year. We have established a goal to acquire 500 additional acres of open space in 2005 and will pursue other opportunities to preserve eligible farmland. We will also continue our Municipal Open Space Partnership Program for acquisition purposes only.
• In 2004 we retained a consulting firm to help us develop an updated Masterplan for the Atlantic County Park in Estell Manor. As part of this effort, we will begin the process of obtaining the necessary approvals from Green Acres so that we may expand our Veterans Cemetery at its present location. This is significant because we do not want to operate two separate cemeteries at different locations.
• Last fall we completed work to study ways to best use the partially vacated Historic Criminal Court House on Main Street in downtown Mays Landing. This year we will use that study to begin the architectural design work necessary to renovate that facility to accommodate the needs of the Surrogate, County Clerk, Board of Elections, Freeholders and Tax Administrator.
• As part of our Homeland Security and Bio Terrorism efforts, we developed a regional hazardous materials response team, and began acquisition of a state of the art, Mobile Incident Command Vehicle, conducted mass public health inoculation exercises as well as other emergency preparedness exercises. In the year ahead, our Division of Public Health will continue to review and update its Bioterrorism and Public Health Emergency strategic plan to ensure that we are able to respond rapidly and effectively to any public health crisis. Our Office of Emergency Preparedness will place the new Mobile Incident Command Center into operation. They will also continue to work with local first responders to ensure that they receive the best available training and equipment to meet our homeland security needs.
• In 2004 we assumed a leading role in working with Atlantic County municipalities to develop and implement a coordinated, low cost means of complying with new, cumbersome state mandated storm water management regulations. We will continue in this role and work to ensure that both county and municipal resources directed toward this challenge are used as cost effectively as possible.
• Last summer our Division of Intergenerational Services began operating a Mobile Outreach Van to help make county services more accessible to our elderly and disabled citizens. This proactive program takes information about County services and programs to places where they can easily be reached by those most in need. This coming February, Intergenerational Services in Cooperation with our Division of Consumer Affairs, will jointly sponsor a Consumer Fraud Prevention Workshop. This workshop will help to educate our seniors on how to avoid home repair, telemarketing, auto repair and Internet based frauds.
• Last May we implemented a "Courtesy Awareness Campaign" in time for the summer season. We also introduced the county's first "Cultural and Heritage Map" and helped to publish the second edition of a three county regional tourism guide. In the coming year we will expand the Courtesy Campaign to include an on site courtesy training component. We will also publish the third edition of our regional "Vacationer" guide and print and distribute other tourist oriented material such as an "Atlantic County Guide to Birding."
• The Atlantic County Utilities Authority completed its first year as the lead agency for ground water issues in Atlantic County. Its Groundwater Advisory Committee conducted two successful public hearings on groundwater issues. Working together we were successful in obtaining a $5 million grant from NJDEP to implement a program for wastewater reuse and water conservation. The ACUA has become the leader in addressing environmental concerns in Atlantic County. This coming August they will break ground on a wind to energy plant at their wastewater facility that will serve as a model alternative energy program.
• In June we held Atlantic County's First Annual "Day at the Bay" event in Somers Point which was an overwhelming success. We helped raised $8,500 to support local high school crew teams. We have plans underway for another fun filled, family event this year.
• By consolidating existing county and community resources, our Division of Intergenerational Services will establish a "211 Call Center". Just as a citizen can now dial 911 to report an emergency, they will be able to dial 211 to access Human Service information.
• In cooperation with our Workforce Investment Board and Atlantic Cape Community College, we will sponsor a countywide economic development forum in March.
• We will begin the process to acquire 300 new voting machines consistent with the Help America to Vote Act. It is our goal to have these machines in place in time for the June primary. These machines will replace our current voting machines which are more than 20 years old and difficult to service since parts are no longer available.

In the year ahead we look forward to doing great things for the people of Atlantic County. Our success is due, in large part, to the cooperation and support we receive from this Board of Freeholders as well as the commitment and dedication of our County Staff. I look forward to working with all of you in bringing this year's goals and objectives to fruition. You have my deepest appreciation and gratitude.
Thank you.