Residents have told Gloucester Township officials that they may not be able to afford their homes.
GLOUCESTER TWP. -- It's no Boston Tea Party, but residents of this Camden County township are planning a tax revolt.
Or, more specifically, they've formed a group called Gloucester Township Tax Revolt to fight back against tax hikes that some have said could force homeowners out of town.
One organizer said it was born partly out of a long-simmering resentment over the annual increases, but the anger erupted in the end of July when residents opened their tax bills.
For the average homeowner, that tax bill was about $500 more than the last year. The rate increased by 26.1 cents. Based on an average assessed home value of $192,000 and the average tax rate of $3.73 -- since there are six different rates within the township -- an average 2016 tax bill in the township was $7,161.
Retired accountant Peter Heinbaugh, one of the revolt's organizers, was at the April council meeting when the tax increase was approved. It included an 11 cent municipal increase, with the remaining 15 cents coming from schools and the county.
"But 99 percent didn't know what was coming until they got their bills, and they got angry," he said.
Residents packed the two meetings since the bills went out in July.
Some shed tears, telling councilors that they cannot afford to stay in their homes, while others just got mad. They accused councilors of wasteful spending and not listening to their residents. One man told the councilors they had better construct a Plexiglass shield in front of them for future meetings. Officials took that as a threat and the man was removed from the meeting, according to the township's business administrator, Tom Cardis.
Heinbaugh said he and two others who have been critical of the township's spending saw an opportunity to get people engaged, so they started the Tax Revolt group and invited anyone who wanted to talk about ways to reverse the trend of escalating taxes.
"A couple hundred people showed up," Heinbaugh said of the first meeting Aug. 17.
More than 100 Gloucester Township NJ residents jam "Tax Revolt" meeting pic.twitter.com/IHa8mIviGl
-- Kevin Riordan (@Inqkriordan) August 17, 2016
And while the meeting was more a free-ranging discussion of residents' concerns, he said that starting with the next meeting in September, the group will start organizing to most effectively deal with the tax problem. That may mean creating subcommittees to deconstruct the budget and suggest cuts that could be made, review the way contracts are put out to bid and awarded, and look into putting forth candidates for elected office.
"We want to really start using the engagement of our town residents and use it to figure something out, and not just yell and scream," he said. The organizers don't see themselves as owners of the movement, he said, just participants in it. "We want to embolden our citizens to do this."
Cardis says he understands and expects the reactions he's seen from residents at the council meetings. "I live here, too," he said. "I feel for the people. Some people are on fixed incomes."
But he said this year, the township faced a deficit of roughly $3 million in its $57 million budget. State aid has been frozen since 2012.
"Everything just costs more," he said, including health insurance and liability insurance.
At the Gloucester Twp. Tax Revolt mtg: Citizens are over-taxed! Let's get Jobs to SJ to help! #NJ01 @Inqkriordan pic.twitter.com/Q6eaTtSTFB
-- PattersonForCongress (@PattersonForNJ) August 17, 2016
The rate debate
Cardis said that while people in the Tax Revolt claim that Gloucester Township's taxes are among the highest in the area, county records show the township's tax rate falls in the middle of the 37 municipalities.
He has answers at the ready for that and other criticisms hurled at those council meetings. One often mentioned is the $3 million the township is spending to install turf playing fields, which Cardis said is not contributing to the tax increase.
The funding is coming from an open space account funded by a special tax, and no new funds were needed.
But, Heinbaugh counters, that money is still coming out of taxpayers' pockets, regardless of what kind of tax it is.
And while people are turning up at township council meetings, the municipal tax is just part -- albeit the biggest part -- of the 26.1 cent increase. Cardis said that the local schools rate went up 7.6 cents, regional schools went up 3.9 cents, and the county went up 3.6 cents. The remaining 11 cents was levied by the township.
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While many communities tax rates increase incrementally every year, Gloucester Township's municipal rate has gone up in fits and starts. "Our base philosophy is not to raise taxes if we don't have to," Cardis said. Some municipalities raise taxes every year by 3 or 3.5 cents, because they can, he said.
For several years, it didn't increase at all. In 2015, the rate even went down a cent.
Gloucester Township Mayor David Mayer Cardis said Mayor David Mayer is hoping not to increase taxes in 2017, or even to reduce the rate.
One thing that will help put the township in a better financial position will be a $1.8 million reimbursement from FEMA for clean-up costs from the June 23, 2015 storm that took down trees and power lines. Cardis said he expects it to be paid in October.
'A perfect storm'
At one meeting, the business administrator used the term "perfect storm" to describe this year's rate hike due to raises across the board from township, schools, and the county.
Heinbaugh bristled at that. "I was insulted by the explanation given," he said. "This wasn't a perfect storm. This wasn't an act of God. These things are decided. They're decided by elected officials."
And since the township's tax rate shot up in some years, the times when it stayed flat still were hard for a lot of homeowners, he said.
Among the things Tax Revolt members will be looking at is whether it will save money to consolidate the township's six fire districts into one. Heinbaugh thinks the choice is an obvious one. Right now, each district has five commissioners for a total of 30, Heinbaugh said. "There's no reason for that," he said.
Heinbaugh said that the revolt's next meeting will be a productive one, "not just a rally where everyone vents." It takes place Sept. 21 at 7 p.m. at the Knights of Columbus in Gloucester Township.
He also wants people to know that the group is non-partisan, as he doesn't believe partisan politics should play a role in local government. Heinbaugh said the Tax Revolt will be like the hundreds who attended the council meetings to protest their tax bills: "a cross-section of the community."
Rebecca Everett may be reached at reverett@njadvancemedia.com. Follow her on Twitter @rebeccajeverett. Find NJ.com on Facebook.