Dover leaders agree on introducing a budget plan that addresses the city’s seven-million-dollar shortfall.
Dover City Council voted nearly unanimously to bring a balanced budget to the floor for Fiscal Year 27. They’ll do so by raising property taxes and electric rates in the city.
But many Council members and city staff still have questions about how the City will avoid this problem in the future.
The city made millions of dollars in cuts to various departments in order to reach a balanced budget, many putting off capital improvement or other maintenance projects to do so. Acting City Manager Sharon Duca says that’s not sustainable.
“There’s often been a saying of ‘find the money’. Finding the money is not an option. So each department is going to have to look- if there’s something that comes up that they can’t control, they’re going to need to prioritize what they have” she said.
The general consensus is Dover needs new avenues of revenue.
Some Council members looked to Newark, a city with a similar population, and specifically its implementation of impact fees.
Duca says that solution might be tricky- but possible.
“There’s some [question] on whether or not our billing system could handle the specifics behind it. I think it requires some time to evaluate to see how we can put that in place. If there’s a way that we can find a way to make it work, I think it could be beneficial for everyone.” she said.
The City would also need to add impact fees to its charter, which requires approval from the General Assembly, something Newark received last year.
The tax hike and electricity raise will net new revenue between $15 to $25 million depending on their energy usage for the owner of a $150,000 home.
Councilman Brian Lewis was the sole opponent to the budget plan. Its first formal reading before council is scheduled for June 8th.
