The Montclair Town Council again failed to pass a 2010 budget, but it has decided to make Kathryn Weller-Demming the new deputy mayor. Roger Terry, who was vocal in his criticism of the process of selecting a new town attorney last week, was relieved from the post. The council also learned that if it doesn’t pass a budget soon, councilors may have to start paying personal fines of $25 a day.

Montclair is one of 10 towns in the state to not have a budget for 2010 yet.. 

Township Manager Marc Dashield said he expects a letter from the New Jersey Division of Local Government Services with a deadline to be sent out tomorrow. If a budget is passed by the marked deadline, each councilor will have to pay $25 for every day there is no budget. Dashield and Fourth Ward Councilor Renee Baskerville believe one of the other towns still without a budget is Newark.

There is one silver lining: the town has discovered $295,000 of uncollected revenue due from condo developer Montclair Residences at Bay Street Station, located at 11 Pine St. The developer was never invoiced. Dashield said that there will be an annual revenue of about $240,000 from the condos, with a charge of $1,500 per unit.

With the extra $295,000 included, the budget will still increase from $70,430,948 to $70,577,978 because of an amendment recognizing two grants from Bring Back the Fourth and a nursing grant. “The grants make the difference,” Dashield said after the meeting. “The revenue and expenditures counteract.”

Despite the town’s budget woes, councilor Nick Lewis said that money has been found to have at least a small First Night celebration on New Year’s Eve.

Mayor Jerry Fried said that despite the last-minute tinkering with the 2010 budget, it is too late in the year for any cuts to be meaningful, because most of the money has already been spent. “All of this talk of cuts in the 2010 budget is essentially just a show,” he says.

The fiscal year for the budget is from Jan. 1 to Dec. 31.

Discussion for the 2011 budget has already begun, with plans to evaluate all organizations and staffing levels, reorganize departments, explore shared services and look into part-time employees versus full-time. Other long-term costs, like health insurance and worker’s compensation will also be reevaluate. The town is already looking for competitive prices, Dashield said.

Councilor Baskerville, who voted against the budget tonight, said she has told the council several times what she would need in writing in order for her to vote in favor of the budget that she did not receive.

During public comment, Mayor Fried and Third Ward Councilor Nick Lewis became defensive towards the residents and interrupted them while they were speaking.

Resident Dominick Cotter, who has been vocal at the past three council meetings about the budget, was disappointed that three members of the council were silent throughout the budget talks. “It makes it seem like you don’t care,” he said. “I have no faith in you now or going forward. Your words are hollow, Mayor.”

Councilor Lewis added shortly after that residents shouldn’t mistake “grandstanding” for passion.

“I am disappointed that its come down to mudslinging at each other,” Councilor Baskerville said during public comment. “I’m offended. I was very specific with my concerns and what I needed in writing. I am
disappointed we are taking these cheap shots.”

Although the 2010 budget is still waiting to be passed, with 80 percent of the year almost over, 2011 is looming right around the corner.

“I can tell you it isn’t enough,” Mayor Fried said. “We aren’t going to be close to hitting two percent [Gov. Christie’s tax cap] for next year.”

57 replies on “Council Fails to Pass Budget; Terry Replaced as Deputy”

  1. I suggested taking up to another $350,000 from the sale of the Label Street property and at least $200,000 from the windfall $2.6MM sewer connection revenue we got from MSU, but I guess $550,000 is not “meaningful.”

  2. I’m completely baffled by this, “it’s too late to make meaningful changes” argument against making budget cuts.

    Someone help me out: what’s the fiscal year that the budget runs for? Jan-Jan or Sept-Sept. If it’s Jan-Jan then why are we passing budgets in Sept? Sounds like a process guaranteed to never have cuts.

  3. “One silver lining: the town has discovered $295,000 of uncollected revenue due from the condo development next to Bay Street train station. The developer was never invoiced.”

    Surely that’s more than the salary of the person who’s charged with keeping track of this. This person should be fired.

  4. “The council also learned that if it doesn’t pass a budget soon, council members may start having to pay personal fines of $25 a day.”

    Kristie tell us more. Pretty please?

    Is this a law? What triggers the fines? When is the fiscal year? Why are the fines so many months after the budget SHOULD be passed?

    Aren’t you curious?

  5. Cary, it does not do any good to put forth half a plan and then whine when no one listens. What’s the Africk plan for zero tax increase in 2011? Put that together, publish it. The continually ask any council members no on board what THEIR plan for zero tax increase is. Put something out there we can beat them silly with (figuratively).

  6. I am just waiting for someone to suggest to turn off street lighting during the night.
    Can we please start making hard decisions like laying off people and also start with the mayor 🙂

  7. “I can tell you it isn’t enough,” Mayor Fried says. “We aren’t going to be close to hitting two percent [Gov. Christie’s tax cap] for next year.”

    Oh this is gonna be good. Is this taxation without representation? Just trying to understand what the legal process would be to refuse to pay any additional taxes next year. Forget 2%. 0% is the goal. Is it possible to starve the proverbial beast.

  8. The only way to make meaningful budget cuts for next year is to concentrate on the school budget. Councilman Africk suggested that the library board be told to plan for another 10% reduction in their budget next year. We must do the same with the school budget. The council meetings are only dealing with the 25% that makes up the municipal portion of the budget. The larger number is the 58% going to the schools. I have no idea if we can do anything with the 17% going to the county.

  9. We were told at the meeting that Montclair was one of ten towns out of over 500 in New Jersey that failed to pass a budget. I am curious to know whether the other nine towns have an elected or appointed school board. With an appointed board, we don’t have an opportunity to vote on approving the school budget.

  10. ROC,

    I’ll be “fleshing” out my plan, especially since I now have a “staff” of at least a dozen “volunteers” with extensive finance backgrounds. We are planning to meet with the CFO and Manager. As I’ve mentioned, the existing IT in the Town is customized to providing Byzantine reports understood only by a select few. “Management Reports” has no meaning in this system!

    I’ll be depending on you ROC to keep me on track.

    As for the “missing $395K,” beats me. Every now and then we make a BIG “whoops.” Good news is we haven’t lost the money.

    As for the schools, I was at the Monday night meeting and they are going at the budget with an ax. Special Ed is under the microscope to both improve efficiency and do a better job, and DRAMATICALLY reduce spending.

    Interesting, though, it appears that the Board of School Estimate, at least the Council members, are nowhere to be found in the process. Made I can make a “deal” with the Mayor and get on that Board.

    More to come …..

  11. What exactly is Baskerville demanding in writing for her vote?

    It’s not clear what the holdouts are asking for.

  12. Despite the town’s budget woes, councilor Nick Lewis said that money has been found to have at least a small First Night celebration on New Year’s Eve.

    Hey! Money has been found! Let’s have a party!

    Nick Lewis doesn’t seem to understand the concept of balancing a checkbook. When you’re increasing your budget by 10 percent, Nick, and you have looming debt from your binge shopping spree, there is no such thing as mad money.

  13. Cary, when you’re putting together the Africk Plan (I suggest you get a duck to be your mascot), I humbly suggest you propose cutting sports loose from the schools budget. Kids who participate should have to pay a fee, perhaps with scholarships for those in need.

    As much as I love sports and as much as my kids have benefited from them, in this economic climate I can’t justify the general expense. As a parent I would be willing to pay extra. We did it for all those years of travel teams, why not in high school as well? The kids could pitch in by doing fund raising on their own. Someone could organize a fund-raising committee for field maintenance.

    It’s time we each grabbed a rope and pulled. Ask not what your town can do for you, but what you can do for your town.

  14. Would someone please ask our good mayor WHY he replaced the deputy mayor? And WHY he replaced the town attorney for that matter? He mentioned the need for a “new direction.” Excuse me, that’s not good enough. Which direction, Mr. Mayor?

    Come on, Barista-cubs, let’s not let him off the hook that easily.

  15. “As for the “missing $395K,” beats me. Every now and then we make a BIG “whoops.” Good news is we haven’t lost the money.”

    No, it was “found” just in time to be spent on a frivolous New Years party.

    They’re going at special education “with an ax” (or was it a microscope?) (or was it a microscopic ax?) but we’ll spend money on one night of jugglers?

    Really, what kind of f’ed up priorities is that?

    And getting back to the “big Whops”. Really, who’s job is that? Because keeping track of moneys owed the township and sending invoices for same is much more important than “environmental coordinating” (or whatever the hell Grey does).

    Is it asking too much that we have competent management?

    I realize that special ed may have to bear some cuts but certainly “First Night” should be first in line for cuts.

  16. “What exactly is Baskerville demanding in writing for her vote?
    It’s not clear what the holdouts are asking for.”

    Not clear here maybe.

    https://montclair.patch.com/articles/council-fails-to-pass-2010-budget

    “What I’m really insisting on is a real plan for 2011,” he said.

    Indeed, Africk also presented a long list of action items for the future. Among them was an independent review of the Montclair Parking Authority, which has just started in the last few days. In addition, he wants to see a freeze on all promotions and hiring, more discussion with the unions, and the formation of a citizen budget committee to work with the council members, among several other ideas.

    “Can we give you a 0 percent tax increase for 2010? No,” Africk said. “Can we make a good faith effort? Yes.”

    Indeed, going forward, Africk, as well as Terry and Baskerville, say they won’t be comfortable approving a 2010 budget until a real course of action is in place that addresses future budget years.

    Baskerville said it’s unfair for anyone to say that members of the council are grandstanding.

    “I’ve been very specific about what I needed to feel comfortable passing the budget … I started with my concerns two years ago,” she said, emphasizing her ongoing questions over Montclair employees’ health benefits and prescription plans. “I have also asked specific questions about empty buildlings in Montclair … and about what our plan is going forward.

    “I’ve said at two or three council meetings what it is that I would feel comfortable with,” she said. “And that’s a plan of action and accountability and I haven’t gotten that yet.”

    In the end, the council members did agree on one thing — they voted unanimously to replace Terry as deputy mayor with Weller-Demming.

    Council members said the deputy mayor position in Montclair holds no real authority and that it should be rotated among members.

  17. p.s.

    “Good news is we haven’t lost the money.”

    This money. Who knows what other uncollected monies are out there?

  18. With the extra $295,000 included, the budget will still increase from $70,430,948 to $70,577,978 because of an amendment recognizing two grants from Bring Back the Fourth and a nursing grant.

    So let me get this straight. We “found” $295,000 we didn’t know we had. But instead of reducing the budget by that amount, the town decided instead to more than offset that savings by spending $442,000 on July 4th and nursing? (And reinstating First Night?) So the budget increased by $147,000?

    Help me out here. This is very confusing. Why is July 4th coming up now? Did we just realize we had a bill due for it? I thought we had cut the celebrations but reinstated them with a grant for $10,000? Does this mean back in July we spent hundreds of thousands of dollars in addition to the grant to have the fireworks in Little Falls, and only realized this last night?

    Can we have some straight talk here?

  19. Thanks ROC. From Patch:

    Indeed, going forward, Africk, as well as Terry and Baskerville, say they won’t be comfortable approving a 2010 budget until a real course of action is in place that addresses future budget years.

    This is good. Kudos to the three musketeers.

  20. p.p.s

    Carry, make sure the budget hold outs don’t cave until some fines to council members kick in. Let it ride for awhile. Let Montclair be the very last township to pass a budget. This will generate some press attention. That’s the time to apply maximum pressure for a zero increase pledge for 2011. Get out in front of the Mayor in the press on this. Be the last to acquiesce so you are the one the press goes to for a comment as to why some are holding a line on the budget.

  21. “Indeed, going forward, Africk, as well as Terry and Baskerville, say they won’t be comfortable approving a 2010 budget until a real course of action is in place that addresses future budget years.”

    What course of action do they want? How about a zero increase pledge?

  22. What a fine mess we have here. Although I think our mayor is a complete joke, I do agree with him on one thing. There are less than 3 months left in the year, the cart is already well ahead of the horse, and the money for 2010 is already gone. How do you cut things out of a 2010 budget that is already 80% spent? That does not mean that the mayor and his council should not be held accountable, they should. Their excuse last night was that they could not pass a budget until they heard about some $1,000,000’s that they may or may not get from the state. So we just sit around and talk about bike lanes, quiet zones, and town attorney’s until then and now its too late. Shame on them for that.

    I commend the 4 horseman for holding up the budget, but at this time we need to focus immediately on 2011. The plan needs to be in place on cuts January 1, 2011, so we get the benefit of the full year of savings. Unfortunately, most of the budget is tied to the schools and I doubt they will start laying teachers and administrators off mid year and interfere with the learning process. So there is the built in excuse for 2011. We don’t have to have a library, 4th of July, First Night, free sports, etc etc. Everything should be on the chopping block. This town needs to work together, cut drastically, and also try to retain certain things by aggressive volunteerism and fundraising by those interested in that particular group.

  23. “I commend the 4 horseman for holding up the budget, but at this time we need to focus immediately on 2011”

    If you want something to happen for 2011 this is PRECISELY the way to do it. Let the 2010 budget lapse. Let the fines begin. Shut down the township government if necessary. Something needs to get people’s attention.

  24. CUT NOW! So what if we only get 20% of the benefit for this year — it’ll be in place, in advance, for next year. Cut $2 million TODAY and enjoy the small-but-immediate benefit of $400,000 savings this year.

    We have cash for next year that could be applied this year? Apply it now! Reduce outstanding debt with it & reap an annuity effect. Do WHATEVER it takes to stop or reduce the increases.

    The bus is careening straight towards a brick wall and drivers Fried, Weller-Demming and Lewis are arguing that slamming on the brakes now will only partly slow us down? Hit the brakes already!

    (obviously, I’ve deployed my airbag…)

  25. One bright spot for me was that the council agreed to my request that the town check book (minus check numbers) be posted routinely on the town web site. I think that once we see precisely where the money goes we’ll be better able to make more spending recommendations.

    I also suggested, and they seemed to agree, that personnel discussions could be held in Executive Session, but salaries would be discussed in the open council meeting.

  26. Happy to be back, walleroo. Bumping into some friends at a Montclair High School function reminded me to get registered (although I’m still wrestling with Gravatar…).

  27. (obviously, I’ve deployed my airbag…)

    I’d like to deploy a parachute, but I doubt the kids would want to move away at this point in their school lives. And that’s assuming I could even unload my house and cover what I paid for it! ~>:|

  28. “although I’m still wrestling with Gravatar.”

    you have to register all anew at gravatar despite what it says.

  29. With 58% of taxes going to the school sounds to me like the school board is really running Montclair with the Mayor & council running whatever is left over.

    Going over Special Ed with an ax? That’s such an easy target — how about if they take that ax to some of the administration positions at the board of ed where a good deal of $$ is spent? Oh sorry – forgot – that would be:

    (a) hard – & dealing w/hard issues is something to be avoided
    (b)would mean the school admin would have to go after their own sacred cow (c)would be asking them to share the pain.

  30. Yeah, Apple! The fact that it’s October is not a reason to let a bloated budget pass. Cut now, cut even more, and cut until we know that we won’t be looking at 5% next year. The Mayor is already saying we won’t hit the 2% cap next year. Come on. You can do better. And Weller-Demming? Good grief. I guess it’s great for the Mayor to have a deputy that will agree with everything he says. We wouldn’t want any disagreement as we take the town in a new direction. And let’s keep throwing parties!

  31. I have no idea which direction they are talking about — all they keep saying is “new”. The 3 members of the council who think it’s okay to keep raising our taxes clearly believe that this is Trenton’s fault and we have a revenue issue. Yes, funding has been cut. That means the budget has to be cut to match the revenues. Period. This council was elected during the time there was an uproar over a tax increase of 8% and an out of control BOE budget. They ran on a platform of transparency and pledged economic responsibility. What happened to all that talk about an civic spirit and engaging the bright minds in the community? They pull the curtain, tell us to shut up and stop complaining and put cronies in key positions. They’re worse than the last bunch.

  32. Perhaps, like the town in Tennessee, we can charge every home a fire (and police) subscription. If you don’t pay the fee, the fire or police department won’t respond to your house if a fire erupts or somebody does a home invasion.
    They charged $75 in Tennessee and let a family’s home burn down. Montclair could easily charge $1,000. And it wouldn’t be a tax.

  33. That town offered people outside of the town the opportunity to pay an annual fee for coverage beyond the town’s jurisdiction. They did the right thing to let the house burn down — no people were physically injured.

  34. If they cared for their animals, they should have paid the $75 subscription. Bad, irresponsible pet owners!

  35. They did the right thing to let the house burn down

    I can’t quite believe we’ve gotten to a place where Americans cheer firefighters who stood watching a house burn to the ground because a $75 wasn’t paid. Stood there and watched!

    Something is deeply wrong with this country.

  36. Hey Baristas, when do the fines for council members start? Don’t make me go over the Patch to find out.

  37. I can’t quite believe we’ve gotten to a place where Americans cheer firefighters who stood watching a house burn to the ground because a $75 wasn’t paid. Stood there and watched!

    Something is deeply wrong with this country.

    Nick, it was just property at stake — property of people who had a chimney fire 3 years prior, but still chose to go without coverage. It would be completely different if people were in danger, but that was not the case.

    Something is deeply wrong with this country if we never, ever, face personal consequences for our personal choices. Maybe the people who had their house burn down should be allowed to claim against somebody else’s homeowners insurance, too?

  38. right apple. I would nominate caphilly’s fire insurance, or at least his/her personal bank account. I’m sure he/she wouldn’t let “money remove his/her humanity” in regards to helping this family out.

    When will you be sending a check caphilly?

  39. Appletony, I’m not saying the homeowner should get some find of financial reward here. I’m saying if the firefighters are standing in front of a house, and the house is burning down, they should put the freaking fire out. That I even have to make this argument is just baffling. Have you no decency?

  40. Nick, i think the big problem we have is the idea of decency has become a relative term. What’s decent and commonsense to some is complete lunacy to others.

  41. I have plenty of decency — If I was their neighbor, you can bet I would do whatever I could to help. I also have something you apparently don’t: a clear sense of the moral hazard that is induced by no consequences for improper behaviors. Here, the homeowners made a decision that fire protection was not worth $75 per year to them. I posit that the homeowners lacked an appropriate level of communal decency by choosing to freeload.

    We are suffering the aftereffects of an economic meltdown caused by a lack of consequences being had for excessive financial risk-taking. The homeowners took what in hindsight looks like excessive risk, just like AIG and GMAC did. AIG and GMAC were bailed out because the rest of the economy was endangered by that fire, just as the firefighters in question in this case showed up to ensure that the fire didn’t spread.

    So, you are, in fact, arguing that the homeowner should get a reward. But ponder this: how many other folks in that area might now choose to pay their annual fire fee to support the public good that is firefighting? There have to be real consequences in property protection insurance schemes or they just will not work. If everyone could wait until after the accident to get car insurance, why would anyone pay up front? Same thing here!

    Incidentally, that’s why I as a “small l” libertarian have gotten comfortable with mandatory personal health insurance — we as a society won’t stand by while lives are in danger (nor should we!), so spreading the health care risks up front, across-the-board, makes sense.

  42. “mandatory personal health insurance”

    Why not make it “mandatory personal health” and imprison or fine anyone not living in a health manner? There are lives at stake!

  43. Because, ROC, I use auto insurance as the model for my thinking, not a nightmarish dystopia. If you can’t make a point without pushing the extremes, your point is pretty weak.

  44. Isn’t it more rational to make it a tax that everybody has to pay? Both for firefighting and healthcare? Because if it’s mandatory that’s pretty much what it comes down to.

  45. “Because, ROC, I use auto insurance as the model for my thinking,”

    Then “mandatory personal health insurance” as a model is flawed. Mandatory auto insurance is not mandatory to protect YOU it’s mandatory to protect the rest of us as you operate your vehicle among us.

    So if we are going to depart from that model and start requiring people to protect THEMSELVES then why not mandatory exercise classes? That’s the logical next step. After all why should taxpayers subsidize healthcare as a result of poor lifestyle choices?

    There a bills submitted to congress for HHS to start collecting mandatory BMI index data on all children.

    “nightmarish dystopia.” indeed.

  46. If it’s mandatory what happens when you get people who can’t pay? You have scholarships if it’s for Montclair pools or welfare for healthcare and then firefighting. Then you have some people paying more while others don’t and we fall right back into the rabbit hole again.

  47. “Isn’t it more rational to make it a tax that everybody has to pay? Both for firefighting and healthcare?”

    Why stop there. There are lives at stake!

    Just nationalize all insurance. Life, health, auto, everything. Raise taxes and let the government take care of our needs. Housing too. Why should some live in squalor?

  48. Mandatory auto insurance is not mandatory to protect YOU it’s mandatory to protect the rest of us as you operate your vehicle among us.

    That’s exactly the point! Mandatory health insurance is not mandatory to protect YOU, it’s to protect the rest of us as you operate yourself among us. That is, we’re not going to let you croak with zero medical care, so we end up footing the bill in a terribly imbalanced way because you chose to go uncovered. If the actuarial risk is spread among the entire polity, the ultimate cost should be better than our current policy of NOT standing by while the uninsured need treatment (which, as opposed to standing by while mere property damage occurs, is the decent thing to do).

  49. You’re wrong about health care, ROC. When you get sick the docs fix your sorry ass even if you don’t have insurance, because they have this thing called compassion. So everyone has de facto health insurance of a sort, whether they want it or not. They should pay.

    There is an alternative. We could require docs to withhold treatment to anyone who fails to take out insurance. But that’s pretty silly.

  50. Just nationalize all insurance. Life, health, auto, everything. Raise taxes and let the government take care of our needs. Housing too. Why should some live in squalor?

    Excellent ideas! I think the town should take the lead on this. Nick Lewis, please report to the information desk…

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