Skip to content

A town square for an unsquare town

redbankgreen

Standing for the vitality of Red Bank, its community, and the fun we have together.

RED BANK: DEMS TARGET ‘SLUSH FUNDS’

horgan-schwabenbauer-101815-500x375-9993665Council members Kathy Horgan, left, and Linda Schwabenbauer, seen at last year’s Halloween parade, are now at odds over the budget. (Photo by John T. Ward. Click to enlarge)

By JOHN T. WARD

taxes-2925011Two weeks after it was shot down on the mayor’s tiebreaking vote, Red Bank’s first Republican-led budget in a generation faces its next test on Wednesday.

That’s when council members will square off over cuts suggested by Democrats to what they called “‘fluff’ and ‘slush funds.'”

The GOP’s spending plan, which called for a two-percent increase in property taxes, failed on May 25 when Mayor Pasquale Menna cast a tiebreaking vote that followed a 3-3 deadlock that included a “no” by a member of the budget-crafting finance committee, Democrat Kathy Horgan.

Horgan’s vote caught committee chairwoman Linda Schwabenbauer, a Republican, by surprise. She demanded that the Democrats specify cuts to reduce the tax increase.

Last Friday, Horgan and fellow Democratic Councilman Ed Zipprich responded with six line-item budget amendments they said would reduce the municipal tax levy by $85,000, or nearly one-third of the $250,000 increase contained in the GOP plan. That would trim the tax increase to just under 1.3 percent, they said.

Their approach is to eliminate what they termed “‘fluff’ and ‘slush funds’ that citizens assume is hiding in the Borough’s budget,” they wrote in a memo dated last Friday.

“I believe our proposed amendments represent the elimination of all ‘slush-funds’ from the Borough’s budget and none of these proposed cuts will have any effect upon municipal operations or services,” Horgan said in a press release.

Here’s the Democrats’ memo: Horgan Zipprich memo 060316

On Tuesday, Schwabenbauer responded in an email to redbankgreen that said, in part:

1. No expense cuts were proposed by the Democrats. Instead, they want to take down $70K of reserves, and adjust expense estimates by another $15K. This is meaningless. Anything not spent goes back into surplus to benefit future budgets.
2. Characterizing our reserves as “slush funds” is extremely misleading. Regulations limit how much we can reserve, and it all must be earmarked for specific purposes. I am troubled that the Democrats believe we are over-reserved. For example, one reserve, currently $334K, is meant to cover a liability of over $1.2M. This reserve is described as “healthy” in the Democrats’ memo. It is precisely this attitude that led us to borrow $750K in 2010 and $362K in 2013 to pay out retiring employees. I am hopeful they simply didn’t understand the magnitude of the 2016 liability.

Here’s her full response: Schwabenbauer budget memo 060716

In January, the GOP had a 4-2 majority for the first time since 1991. But Councilwoman Cindy Burnham, who’s up for re-election in November, was knocked off the GOP primary ticket in April, and is now running as an independent. She joined Horgan and Councilman Ed Zipprich in opposing the spending plan.

The council meets at 6:30 p.m. at borough hall, 90 Monmouth Street. Here’s the agenda: RB Council Agenda 060816

 

Remember: Nothing makes a Red Bank friend happier than to hear "I saw you on Red Bank Green!"
Partyline
LIGHTS. CAMERA. SHAKAS.
Some dude in a classic scruffy looking convertible filled with surfboards, a checkered flag and an odd assemblage of junk/treasures in the b ...
CRABBER’S DELIGHT
Ed Merlino shows off his morning’s catch at the Marine Park fishing pier Monday (photo by Brian Donohue)
DRESSED FOR CELEBRATING
Sunday’s Hispanic Heritage Month Celebration in Riverside Gardens Park (photo by Partyline contributor Chris Havens)
SUNDAY CHAT WITH A VIEW
A man enjoys the view of the Navesink River while chatting on the phone from the bench near the Red Bank Public Library Sunday morning. We d ...
GARAGE SALE PARTY!
When Henry Tindal has a garage sale, it’s not just a garage sale. It’s a garage sale party. Photo taken Saturday (photo by Brian ...
A PROCLAMATION!
By KENNY KATZGRAU The Borough of Red Bank recognized redbankgreen founder John T. Ward at its September 12th council meeting. Ward accepted ...
IN THE CROW’S NEST
A fish crow waits optimistically for crabbers at Marine Park to drop a bit of bait for lunch. (photo by Brian Donohue)
ANYONE HUNGRY?
A bird feeder awaits customers at Veterans Park. (photo by Partyline contributor Boris Kofman)
ALL’S WELL. AND WELLER
  Legend in town. (Photo by Partyline Contributor Jeff Frieri)
DEEP SANDAL THOUGHTS
A pair of sandals left in the doorway on Monmouth Street in this photo by Partyline contributor Ryan Chippendale, who added a choice of capt ...
MARINE PARK REMAKE
New plants for the new Marine Park parking lot appear ready for planing as construction of the new parking lot proceeds. The work is part of ...
LONG LIVE LOCAL NEWS
Getting amped up for LION Chicago 2024
JACKPOT!
This squirrel has found a bonanza of seeds to fatten themselves up for winter with on this giant sunflower in a front yard at the corner of ...
RIBEYE WELL DONE
Red Bank rockers The Ribeye Brothers at The Dublin House Sunday. Few things in life have proven as reliable as The Ribeye Brothers playing t ...
PEARL STREET PINK
Pearl street consignment shop. (Photo by Partyline contributor Jeffrey Frieri)
POOP FAIRY BOMBS HUDSON
A pile of a half dozen festively colored plastic bags containing what smelled and appeared to be pet excrement sit in a pile on Hudson Avenu ...
ANOTHER MIDNIGHT CALL
( Photo by Partyline Contributor Jen Singer)
SNAPPER RESCUE
Skylar Gregory, 9, spotted this baby snapping turtle trapped trying to make its way to the river while out walking her dog near the Red Bank ...
DUCK BEACH
Wildlife enthusiasts in Red Bank should know about “duck beach” as it is affectionately called by Evelyn and Gene Taetsch, two o ...
BLAZING NAVESINK SKY
  Sunrise from Maple Cove 08/21/24 (Photo by Partyline contributor Thomas Doremus)