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Hopatcong Budget Has $38 Tax Hike for Average Home

Public hearing set for April 3; spending plan tops $16.5 million.

 

The owner of a home assessed at the Hopatcong borough average could see their property taxes rise $38 this year, based on the 2013 municipal budget introduced by the council.

The $16.556 million spending plan calls for $12.4 million in property taxes, a 3-percent increase from 2012.

Overall the 2013 budget is $376,767 larger than the 2012 budget.

The public hearing on the budget, when the council will vote on adoption, is scheduled for April 3.

Borough auditor Paul Lerch said the Borough Council and administration brought the budget in below the state-mandated tax levy cap. Under that law, which called for a 2-percent cap on the amount of new taxes from year to year, the council could have raised $12.9 million in taxes, instead the levy is $530,689 below the cap.

State aid for the budget is flat, at $953,270, and the council used an additional $250,000 from surplus to balance the budget. For 2013 the council plans to use $1.3 million from surplus.

Complicating the budget plan is the ongoing reassessment that has lowered property values across the borough. In 2012 the average home was assessed at $309,000. For 2013, the average assessment is $214,600.

The new assessments will be felt fully in the 2014 municipal budget, since they take effect in August.

But, Lerch said, the borough restated the 2012 tax rate by 26 cents to incorporate the lower assessments, which impacted the 2013 tax rate.

The restatement raised the 2012 tax rate from 60.3 cents to 86 cents.

The tax rate hike for 2013 is 88.6 cents for $100 of assessed value, or 2.6 cents higher than last year.

“This is a good budget,” said Mayor Sylvia Petillo. “We worked hard to get to $38.”

An owner of a home assessed at the borough average can expect to pay $1,901 in municipal taxes in 2013.

All borough services were retained, even though some funding was cut in each department, she said.

“There are no cut-backs even though the funding will be less,” she said. “They may be administered a little differently.”

Resident Barbara Loring, who lives along Lake Hopatcong, said the reassessment of her home could add $2,000 to her 2014 tax rate. As a person living on a fixed income, she said, repeated increases of that size would drive her from Hopatcong.

Petillo said the reassessment is for now a one-time event designed to level out  the borough’s property values and should also level out future tax hikes.

The council also introduced an ordinance calling for spending $80,000 on new computer equipment for the police department. The funds will be taken from the capital surplus account, said administrator Robert Elia.

That account is where unspent capital funds are placed, if, for example, a project costs less than was budgeted. No additional tax dollars were placed in the budget for the purchase, he said.

Related Topics: 2013 Budget, Hopatcong Borough Council, and Reassessment

S. Coventry

10:34 pm on Sunday, March 10, 2013

We finally get some information on the budget meeting and it doesn't even get top news spot. Not to mention the budget meeting was last Wednesday. Sorry I forgot we got the chicken story last Wednesday and it got the top spot. Too late I read about the budget on the alternative press page they reported it last WEDNESDAY.

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Rob L

9:33 am on Monday, March 11, 2013

Of course taxes are going up. At least let me feel like I am getting something for my tax dollars and PAVE COOLIDGE TRAIL !! Me and my car beg you. This road is a disaster from beginning to end. Stop patching it and pave the damn thing already.

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Sam

9:42 am on Monday, March 11, 2013

The new superintendant is supposed to be paid nearly $30,000 less than the current retiring one by law. Where is that money being pilfered off to?

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Observer

3:16 pm on Monday, March 11, 2013

@Sam—I’m sure you realize that your total real estate tax levy is the combination of the county, municipal, and school budgets. I believe I read that the county budget remained the same although that could have been Morris not Sussex. You can count on the school budget share to increase the full 2% allowed by Christie Law without a public vote. As for any money saved when and if a new school superintendent is hired, you must remember offices will have to be re-decorated, re-carpeted, as well as new computers will need to be purchased. You understand all that right?

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Sam

12:24 pm on Wednesday, March 13, 2013

Why do offices have to be re-decorated and re-carpeted and how old are these computers..My office has same carpet and paint for last 8 years..Computer 4 years old..Suck it up..and yes I understand..dont talk down to people

Joseph Wichart

9:58 am on Monday, March 11, 2013

When property value decreases in Florida, so do the property taxes......what's going on NJ?

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Lewis J Petty

3:04 pm on Monday, March 11, 2013

I'm curious about the cost of Hurricane Sandy. Was the budget increased due to the extra expenses associated with the storm or was it paid for in other ways?

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Laker86

3:52 pm on Monday, March 11, 2013

I am VERY concerned about the reassessed values. Everyone that I have spoken with has told me that their values went down by $100,000.00 (plus or minus only a couple of thousand dollars), whether it was a $500,000.00, $750.000.00 lake front or $200,000.00 home. I currently have a family member who, if the calculations provided are correct, faces a $4,000.00 increase. My greater concern here is that it appears that there was a blanket reduction in value, not a real reassessment.

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The Watcher

7:09 pm on Monday, March 11, 2013

Basically you paid hundreds of thousands of dollars for a reassessment that in reality lowered everyones value approx 30% but raised the rate. brumbear is right Patch was more interested in chickens than the budget. According to the article in the alternative press you can get a line item copy of the budget at the municipal building pick one up before the next meeting brumbear and ask your questions we would all like to know the answers!

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rcc2

7:32 am on Tuesday, March 12, 2013

Laker I share your concern as a lakefront owner. I myself am looking at a 21% increase in taxes due to the reassessment. If you look back on the five years I've been in this town my taxes are up 66%. After the reassessment I will also be paying roughly 4k more in taxes than a comparably valued lakefront in Jefferson, Roxbury, or mt. Arlington. When apprasial systems did this to the west Milford lakefront owners last year at least the organized and fought it. All I have heard from the hopatcong lakefront owners is complacency and some worries about a small amount of chicken poo getting into the lake.

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Michele Guttenberger

12:44 pm on Tuesday, March 12, 2013

Lakefront owners are definitely bearing the brunt of these new taxes. So, when one lakefront owner took protest actions we have hash words to say because they did not roll over and pay up like the rest of us. Most of our neighboring towns that have faired better economically with better schools and property values because they have active citizen audit groups that are watch and review their school and municipal spending budgets. Most lakefront owners in Hopatcong couldn't care less about the Hopatcong School system since they do not use them. Guess what ? Lakefront owners are paying increased taxes for these failing schools and the failures of these schools have impacted the market value of their lakefront homes besides the reassessment. The big taxed lakefront owner is getting what they deserve by not questioning the management of our municipality and school administrators as it's not my problem, I am just here for the Lake. Well, the chickens have come home to roost. The Lakefront owners are just taxpaying chickens clucking away but will manage to scratch up these increases because they always do. They never see themselves as a group that should take action. They just peck and peep even when their neck is finally on the chopping block.

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Sam

12:25 pm on Wednesday, March 13, 2013

Since you all got away with it during the sewer scam.feel ZERO sympathy

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The Watcher

10:54 am on Thursday, March 14, 2013

@S. Murry sounds like you have a personal problem and you should send him a letter.

brumbear

6:26 pm on Monday, March 11, 2013

I am so MAD right now it's not funny. I am going to a meeting soon and they better have answers and if the patch isn't going to do a full report on this stuff they should shut it down.
The tax rate went from .01255 or something close, to .0304 without the addition of the 2013 budget. They essentially raised everyone's taxes 29% that's worth an explanation plain and simple.

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jazzman

8:25 pm on Monday, March 11, 2013

they had to do the town reassessment in order to change the multipler tax rate num.because of all the homes looking for a reassement of properties on the old rate the multiply was calculated out to bascically keep things the same,the rate changes only when you do the town reassessment,they spent how many thousands to save how much money.the only ones that lost are the property owners who paid for there reassessed homes

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Clay Thomas

8:41 pm on Monday, March 11, 2013

You can focus your frustration on those residents (and their leader, who seems to be MIA for good reason at the moment) who tried to the game the system by advocating appraisal appeals (using certain attorneys and real estate appraisers). So a few members of that group were able to reduce their real estate taxes for a year or two before the momentum they created and reality caught up. Now everyone will pay a higher tax rate on a lower appraised valuation and those who had their taxes reduced will see the highest increases. It’s not quantum mechanics or string theory, it’s very basic math. Again, if the assessed value goes down the tax rate will increase. Case closed.

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Michele Guttenberger

5:37 pm on Wednesday, March 13, 2013

I was not part of tax reval group however, I give these people credit for their active opposition to our run away taxes and the devaluation of Hopatcong property. I guess I have more respect for people who are willing to put up a fight than those that obediently open their wallets . The reality that most of you are not willing to face was that the major property devaluation in Hopatcong was not from residential property but commercial and the biggest commercial property landholders have successfully gotten their property taxes reduced even after this reassessment. The Hopatcong commercial property devaluation from 2007 was over $21 Million in 2011 where the residential properties were under $10 Million. How are they adjusting for this loss - Well of course with the new residential tax rate? It's seems to me that those who did not follow the big bag of wind are eating crow anyway so why the criticism of this group? Maybe the silence on Patch is from getting a good deal that they are no sharing with you. People don't like to brag about their inside deals to Patch especially our big commercial landholders. Right now there is someone laughing at the taxpayer and the Mayor's budget dog and pony show they bought. Maybe it's that big bag of wind that is having the last laugh.

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Clay Thomas

7:26 pm on Wednesday, March 13, 2013

Michelle regarding the last statement in your most recent post. I really don't think so based on the facts that his residence hasn't sold (if he was truly serious about selling in the first place,"love it or list it" was his claim), and the listing price is unrealistic based on Zillow and Trulia. With all his "claimed" knowledge about world markets and the collapse of the monetary system and US Economy, seems like he bought a very bad investment and is now stuck with it! Sucks to be him!

Michele Guttenberger

10:44 pm on Monday, March 11, 2013

The Borough underwent a revaluation of property that was effective January 1, 2007. Assessed Valuation for Residential property in 2007 Year was $1,916,714,600 and 2011 Year it was $1,907,643,400 The Net Residential Devaluation was $9,071,200
Assessed Valuation Commercial property 2007 Year was $108,771,800 and in 2011 Year it was $ 87,506,900. Net Commercial property Devaluation $ 21,264,900. What’s the explanation for the commercial property devaluation of over $21 Million. Did businesses join in to have their commercial properties reevaluated too? What caused Commercial property to drop by $21 Million . Perhaps adding commercial properties into land trusts. Do you think? What is the Borough’s story on Commercial property that has tanked big time by 2X’s the amount of residential property. Inquiring minds want to know. Posed this question at the town meeting last year and I am still waiting for the answer. Who do you suppose is making up for the $20 Million in Commercial property devaluation - for that answer take a good look in the mirror and at your neighbor next door.

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BeachBum

12:04 pm on Wednesday, March 13, 2013

Whats happening with the lower river styx area, spring is right around the corner, haven't seen any updates since the last article in October - I would imagine Hopatcong has given up on this area and the area will continue to decay - What a shame, lake and road access and the town looks the other way, pitiful!

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Michele Guttenberger

8:22 pm on Wednesday, March 13, 2013

@ Clay Thomas thanks for clarifying why you are so critical of the MIA Tax Reval leader. Your reasons are valid. He did give a lot of doom and gloom on the world market collapse and Zillow listing trivia. I suppose this was quite nauseating and irritating to some people . Everyone has their pet peeves for me it is about deception and the wool that is being pulled over the eyes of the taxpayers. Not everyone has the time to investigate what is really going on behind those budget numbers, new hires, contracts and deals our attorney, Mayor and Administrator presents for their Corporate Club friends that the Council votes through. In fact, I have found that many of the council members don't realize what they voted on and the impact of their decisions. They are kept in the dark along with the taxpayer. This bothers me more than some Patch ranter because the future of Hopatcong is being Sold-Out at discount prices and the taxpayer isn't aware of these private millionaire shopping sprees.

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Michele Guttenberger

2:07 pm on Thursday, March 14, 2013

The Puff! Whiz! Bango! Done! Man lives on and on in the mind of S. Murray who has made this Patch Supper Ranter into a Fearless Leader with the power to pull the wool over the taxpayers eyes. Even after months of silence S. Murray has resurrected him like a bad penny. After all this time he still hits a nerve with S. Murray and will forever be infamously immortalized as a Patch presence we should never forget.
But maybe I would join S. Murray's NOT a FAN of the Puff! Whiz! Bango! Done! Man
if he told me that it was his roll back tax group that got the $300K tax reduction reassessment for the biggest commercial property holder in Hopatcong. Then I would have fighting words to say to the Puff Whiz! Bango! Done! Man too. But in my eyes he was an entertaining Patch Ranter that liked to be a thorn in the Mayor and BOE's side. Never thought of him with supper human Patch resurrection powers that could lead the masses and magically pull the wool over the taxpayers eyes without having a Governing Board position in our Town. Why resurrect the Man if you're not a believer of his faith. My philosophy is to let sleeping dogs lie. There were some things he was wrong about and there were some things he was right about and his fan club might choose to point out his correct predictions and the focus is removed again from real budget spending and reassessments issues. or Maybe S. Murray is baiting for his return to Patch for the entertainment of it all.

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Lurky Loo

3:16 pm on Thursday, March 14, 2013

Maybe the S. In S. Murray stands for Sheeple cause I cannot believe some people cant see the lack of business being brought into this town and the spend it like we got attitudes that got us into this mess, not Roll Back. S. Murray, you def belong on the Town Council or better yet, maybe you can be our next wolf in sheeps clothing, er, i mean mayor! Anyone who believes this is because of Roll Back should go back to sticking their head in the sand and be a good little lemming! If idiots could fly, this town would be an airport. Hey! Maybe the town could start a new business, Lemmings Airlines with a Sheeple shuttle service!

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S. Murray

6:18 pm on Sunday, March 24, 2013

Oh Michelle...we are really tired of you and Louise and the Marvelous Ms MM grinding your own brand of taineted meat to make sausage for Patch!

Michele Guttenberger

3:52 pm on Thursday, March 14, 2013

@Lurky Loo we can't be an airport because the planes would interfere with the club member helicopters trying to land at Hudson Farms for their safari practice events. Plus the 1000's of flying game birds raised on the farm would get caught up in those jet engines. However, there is the Lake as emergency run way landing - Nah! It's shorter than the Hudson. Helicopters are the only thing that can slice and dice the flying bird issue.

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Lurky Loo

7:27 pm on Thursday, March 14, 2013

Can we still keep the Sheeple Shuttle Service? Ohhhh pleaseeeee???

Observer

4:43 pm on Thursday, March 14, 2013

Did someone mention "foie gras?"

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S. Murray

6:17 pm on Thursday, March 14, 2013

Did someone mention PhotoShop? Michele, how good are you with PhotoShop?

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Michele Guttenberger

6:47 pm on Thursday, March 14, 2013

"Photoshop' a word that reminds me of a morbidly obese local candidate last year that had a photoshopped magnetized picture of himself on his car doors. It seemed he was infatuated with the Mayor who even belonged to an opposing political party than his. This person was always doing a Patch comment battle with the roll back tax man. It's amazing how one word brings back memories like the word "photoshop" and the dirty and nasty campaign I heard this person was doing to his own party and his party's running mate.

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S. Murray

6:51 pm on Thursday, March 14, 2013

Michele: we have QUITE a bit in common; I also handled papers distributed to corporate executives and factory floor workers alike. Unlike you however, I handled them before use.

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Observer

7:09 pm on Thursday, March 14, 2013

Ouch! I love the give and take and certainly appreciate the intelligent use of satire and irony. Michelle is my muse, and I think she likes foie gras to boot, so no personal attacks please. If I didn’t get it, well the joke’s on me and it wouldn’t be the first time.

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S. Murray

7:13 pm on Thursday, March 14, 2013

Observer: I leave it to you and your Muse Michele. May you make lovely things together! Personal attack, no....a simple recap of the woman's background; check her profile, just like ROLL BACK OUR TAX used to insist!

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S. Murray

7:30 pm on Thursday, March 14, 2013

Observer: Tell your 'Muse' to stop commenting on a person's weight, lest someone launch a personal attack, but that is OK in your book?

Tammy

7:42 pm on Thursday, March 14, 2013

I wouldn't say she was commenting on his weight exactly. More the fact that his campaign picture did not quite match what you came across when meeting him in person.

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UnionJacked

10:24 pm on Thursday, March 14, 2013

Boo! First time homeowner (or at least for four years)and have had taxes included in my fixed mortgage. Every year my mortgage payment when up, result of borough taxes. Loan modification thankfully accepted last year because of out of control monthly payment and now the cycle continues with taxes. With the land/building taxes being evaluated my house has lost value over 100,000. Hence, from what I have read from previous posts it seems a calm before the storm. From what I understand, please excuse my inexperience of homeownership, my taxes should stay the same or little less for a short time, then this only opens the door for the borough to rise taxes later. From what I went through the past years struggling to make mortgage payments, I don't know what the responsible approach would be? This evaluation for taxes,determines value of my house? If I was to sell out and relocate/ with whatever work I could do to the house to break even and pay off mortgage? I like this location otherwise I'm looking for ways to stay, just seems this is never ending...

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Observer

7:06 pm on Saturday, March 16, 2013

At one time owning your own home was the American Dream. Sadly, for many, that dream is being impeded by many obstacles at the moment. The economy, high taxes, failing schools…the list go on. Things will eventually change, it’s just how long will it take.

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Michele Guttenberger

7:56 pm on Saturday, March 16, 2013

"Petillo said the reassessment is for now a one-time event designed to level out the borough’s property values and should also level out FUTURE TAX HIKES."
IN OTHER WORDS: - Everyone will feel the pain of her future tax hikes. Except for tax exempt special landholders. They were invisible to this tax reassessment especially the one with the newly erected state of the art target shooting school and retail pro shop building .

"the council could have raised $12.9 million in taxes, instead the levy is $530,689 below the cap"
IN OTHER WORDS: We could have taken out both your knees but we only went for a few fingers because we like you.

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The Watcher

9:22 pm on Saturday, March 16, 2013

More like a knee and a couple of fingers ! How is that going to level out future taxes? Is there a time limit for a reassessment? You know that when the market goes up the town will reassess and there will be tax appeals and the cycle will continue. That is if the town doesn't go bankrupt first.

Observer

11:32 am on Sunday, March 17, 2013

Sounds like we've been watching a lot of "Godfather" and "Boardwalk Empire" reruns! Personally, I love them.

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S. Murray

12:36 pm on Monday, March 18, 2013

Michele: You seem to thrive on making observations on a certain person's weight; since you have introduced looks as a point of discussion, is it OK if some of us comment on yours? I noticed you shied away from bringing up a person's intelligence as an issue for discussion..would it be OK if some of us comment on yours?

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Michele Guttenberger

5:17 pm on Monday, March 18, 2013

S. Murray the issue was photoshopping in response to your question. I gave an example. Why did you mention photoshopping? What was your intent on this one? I weighed in on your comment which was a left handed loaded question - was it not? The reply hurts because you gave yourself away by your question. I then knew it was you and I had to give you my special photoshop example. Maybe you should play this game again without the language that gives yourself away. But don't think you can because you can change your name but not your ...

Michele Guttenberger

4:55 pm on Monday, March 18, 2013

Watson don't think I mentioned the Mayor. But, you did and you just tied her church to this story. Really must not like her to connect this particular comment to her church and her religion. That was very nasty of you.

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The Watcher

6:10 pm on Monday, March 18, 2013

Michelle you hit the nail on the head or should I say you guessed the weight on the scale? Seems S. Murray likes talking to himself. Split personality? Well since he asked you about what drugs you were on... hope it's not the person with the same name (that was reported on NJ.com) of Hopatcong, who was charged with possession of a controlled dangerous substance, possession with intent to distribute a controlled dangerous substance, distribution of a controlled dangerous substance, distribution of a controlled dangerous substance within 500 feet of a park.

S. Murray

5:34 pm on Monday, March 18, 2013

Oh Michele, you always make people laugh and shake their heads; especially if they have seen all three of you in action!

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S. Murray

6:39 pm on Monday, March 18, 2013

Oh, The Watcher and Michele...go good together! Double your pleasure, double your fun! Four bobos are much much better than one! (Michele counts as three)

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Michele Guttenberger

9:52 pm on Monday, March 18, 2013

My mistake for entertaining a malicious dimwit after knowing his identity . So I deleted the unrelated humor that has drifted away from this real tax issue. Many folks in Hopatcong have been hurt by this administration. This was about Gov. leadership who couldn't find it in themselves to work at making real cuts to the budget to face the reality of our economic situation. There is still bill payments to Atlantic City, Holiday gift baskets, buffet dinners at the Mt Arlington and bus trip parties. How many homes are under water from this exercise. How many lending banks will be deterred from making future loans in Hopatcong because this prompted existing mortgage foreclosures. The Mayor says she loves her Senior's . Well ,she just slashed their retirement nest egg by 100K. Hard to get the best sale price on your Hopatcong home to move into a new retirement place. This was Sale $$ they counted on. So the Seniors bless you Mayor & Co. And Bless you for only taking an additional $38 from everyone. We have short memories and will forget $1000's in damages with a formal devaluation and expenses incurred from this fiasco. And bless those who won't ask why the largest landholders have gotten substantial tax reductions while they saw tax increases. And bless our Mayor's family $$$ landholdings outside of Hopatcong where they don't need to worry. Pulling off all this and still having folks believe they have a sincere leader shows the depth of clueless blind faith.

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The Watcher

10:17 pm on Monday, March 18, 2013

Michelle it has become obvious that he has to resort to silliness because he can't hold a candle to your insurmountable wit. Ignore him and he will once again fade into the darkness of his lonely world.

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Michele Guttenberger

10:04 pm on Thursday, March 28, 2013

Stop crying out for them. They're busy reading fiction - the new budget. It is time for you to roll off your ice flow, polish the car and slap on that "in your dreams" photo of yourself. It is campaign time. You Go! Mr. Independent - You Go! Sylvia deserves to have a man like you beside her. I'm routing for you all the way.

S. Murray

10:11 pm on Thursday, March 28, 2013

Hmmmm....talk about 'in your dreams photo' .....the pot calling the kettle black? Louise? MM?

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The Watcher

12:36 am on Friday, March 29, 2013

I agree Michele should have posted the picture of you going to the cafeteria.

mmhmm

12:47 pm on Tuesday, April 2, 2013

Im glancing over all this banter and find nothing constructive in it ..IM Every town needs good ratables.How about a independent ad hoc committee to find them?

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S. Coventry

3:13 pm on Saturday, April 6, 2013

A friend just suggested that I look at Mara Modes candidate facebook page for a more informative account of the municipal budget meeting. I must admit after reading the other accounts from the newspaper and the alternate press I was quite surprised. I found it enlightening as to why the residents are in the "dark" and being kept there by word games played by the mayor and council. I also find it appalling that they would hide behind semantics instead answering the man's question. After all how many people would know to ask about "soft costs" associated with a grant to the tune of over $80,000, and that's only part of it.

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Michele Guttenberger

4:07 pm on Saturday, April 6, 2013

Let's go find our lost ratables. I have clues on how they got lost. I did a battle of words at our town meeting because they play word games and if you don't know the right words you will never get the answer to your question. Here's my word play game with them on at our Budget Meeting 4-3 that was open to the public: Below is a quote from the AP because I complained about the misuse of the word “Donation” at the Council Meeting and said it was a settlement from PSE&G. Ursin spoke to the reporter off record – The word we argued on the record was “Donation” and not the word “Grant” but either words I find appalling.
“After the meeting, Township Attorney John Ursin explained PSE&G had been sued by several towns over powerlines. The company went to municipalities the powerlines touched and offered them funds. “They came and said, ‘how about a grant and then you agree not to sue’,” he said. He noted the lines cross a tiny, wooded corner of Hopatcong.”
They Packaged the future compensation for damage monies as grants to hide the intended purpose of these monies from the public and from public comment . So PSE&G develops a grant to give to Town Officials to keep silent and they sign away our rights to claim future damages. What a unique definition for the word “grant” - most creative use of the word “grant” that I have ever seen. I wonder how many of these grants Hopatcong has.

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The Watcher

4:21 pm on Saturday, April 6, 2013

I remember when the three candidates were running a few years ago and "someone" (not naming names) went to St. Jude's and told the parishioners that the council was under attack for being Christian. Found out later it wasn't true, but by that time the damage was done and the election was over. Can you guess who got re-elected? Give them credit they know how to spin. At least some people out there are trying to save the town in spite of the political spin.

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