Message from Mayor Josh Losardo | October 4, 2024
As fiscal stewards of municipal government, it is essential that we educate the community about how property taxes are generated and spent. I know that many residents – like me – want to understand where every dollar is allocated and how it directly benefits the services and quality of life in Scotch Plains.
Some newcomers to town, or new homeowners, might be quick to assume that the total property tax bill is at the direction of the Mayor and Council. But, in fact, we only oversee about 14% of your total property tax bill.
We are pleased that town hall has been able to keep the municipal portion of your tax bill relatively flat for the past nine years, despite inflation, contractual obligations and a pandemic, through the hard work of town leaders, both Democrat and Republican.
The total property tax bill you receive is divided across three main areas: (1) Scotch Plains Township for municipal services; (2) the Scotch Plains-Fanwood Board of Education for the public schools; and (3) Union County, with smaller portions funding the public library at 1927 Bartle Ave. and open space preservation.
Here’s the breakdown of the tax bill:
- Municipal Services (14.51% in 2024):
This portion directly funds the daily operations and maintenance of Scotch Plains. The budget supports police, fire, and EMS services, public works (road maintenance, snow removal, branch and leaf collection), parks and recreation, and essential infrastructure projects. These investments are vital for ensuring our town remains safe, well-maintained and an attractive place to live.
- Scotch Plains-Fanwood School District (66.65% in 2024):
A substantial portion of your taxes funds our regional school district, with a tax rate set by the Board of Education. Funding is allocated for teacher and staff salaries, school facilities, academic programs, and student services. This investment ensures that our children have access to a high-quality education and resources that prepare them for future success.
- Union County Taxes (17.34% in 2024):
The county's share funds regional services like maintenance of the roads it oversees such as Raritan Road and Terrill Road, health services, programming, county-run parks, and the county court system.
- Library and Open Space (approximately 1.5% in 2024):
These funds maintain our local library and preserve our green spaces, enhancing community access to resources and protecting the natural beauty of Scotch Plains for generations to come.
Please visit https://www.scotchplainsnj.gov/index.php/departments/taxes-and-finance for more information.
While the breakdown of property taxes may vary slightly from year to year based on budgets, state aid and capital projects, the priority at town hall remains the same: delivering value for your investment.
I am pleased that Scotch Plains is one of only a handful of municipalities in New Jersey that has earned a “AAA” bond rating from independent bond rating companies, further underscoring the strong financial management we have at town hall regarding the municipal budget.
This stellar bond rating makes it possible for Scotch Plains to borrow money for emergency service vehicles, building renovations and other capital expenditures at the lowest interest rate possible.
I hope you now have a better understanding of how your tax bill is divided and how the money is spent among the three main entities. At town hall, we are firmly committed to carefully and strategically managing these funds, maintaining the strongest fiscal discipline possible, while investing in the long-term sustainability and affordability in Scotch Plains.
