Henlopen Acres increases taxes, fees in next year’s budget
Looking to account for higher costs and to compete with other local municipalities, Henlopen Acres commissioners have approved a budget for next year that includes an across-the-board increase in taxes and fees.
Henlopen Acres’ budget runs July 1 to June 30. During a meeting June 9, town commissioners approved a tax rate increase of about 10.5%, from $2.94 per $100 of assessed value to $3.25; a 12.5% increase on construction permit fees for projects under $50,000; a 25% increase on construction permit fees for projects more than $50,000; a water fee increase of about 16% from $475 to $550; and a $400 increase in the marina slip rate.
“We adjusted our budget this year to cover higher operating costs due to inflation in goods and services, but also to adjust salaries to be more competitive in the local market, a challenge that all municipalities are facing,” said Mayor Joni Reich, in an email June 13.
In addition to the increase in the town’s typical taxes and fees, there will be a new $50 fee assessed to each property that will be earmarked as a contribution to the Rehoboth Beach Volunteer Fire Company. Last year, the fire company responded to 11 fire calls and 22 rescue calls in Henlopen Acres.
Reich said she proposed the resident contribution for the fire company after speaking with RBVFC Vice President Warren Jones. This will ensure that as a community, Henlopen Acres is doing its part in supporting the fire company’s good work, she said.
Town Manager Tom Roth, who announced his retirement earlier this spring, said significant capital projects for next year’s budget include $40,000 for stormwater improvements, $35,000 for a backup generator for town hall, $25,000 in street light upgrades and $30,000 for town hall and entrance security improvements.
Last year, the town saw a fairly significant decrease in transfer tax revenue, but Roth said there’s been no change this year. He said revenue from construction permits is about $50,000 under budget, but overall expenses are also tracking under budget.
Overall, the town is budgeting about $30,000 in excess revenue for next year. The expected revenue is about $1.15 million – $440,000 in property taxes, $156,000 from North Shores, $154,000 from the marina, $140,000 in zoning and $125,000 in water.
As for expenses, the town is budgeting for about $1.12 million – $313,000 in general and administrative, $345,000 for streets, $282,000 for security, $108,000 for water and $74,000 for the marina.
Chris Flood has been working for the Cape Gazette since early 2014. He currently covers Rehoboth Beach and Henlopen Acres, but has also covered Dewey Beach and the state government. He covers environmental stories, business stories and random stories on subjects he finds interesting, and he also writes a column called Choppin’ Wood that runs every other week. Additionally, Flood moonlights as the company’s circulation manager, which primarily means fixing boxes that are jammed with coins during daylight hours, but sometimes means delivering papers in the middle of the night. He’s a graduate of the University of Maine and the Landing School of Boat Building & Design.
