Ridgewood council adopts $64.8 million 2025 budget after state-directed technical amendments; tax base rises after Valley Hospital assessment

The Village Council adopted a $64.8 million municipal budget for 2025 on the council's May meeting, approving a 3.14% municipal tax increase that the manager said translates to about $149.63 for a home assessed at $712,700.

The budget matters because it funds public safety, parks and roads and reflects a substantial change on the revenue side: Village officials said the taxable base rose by more than $200 million this year after the former Valley Hospital property was assessed and added to the tax rolls.

Village Manager (identified in the meeting as Keith) told the council the spending plan was intended to be "fiscally responsible, with a minimal impact on taxpayers," and cited priorities that include continued road resurfacing, water and wastewater maintenance, and public-safety staffing. The manager also said the increase roughly matches regional inflation and illustrated the household impact using the average assessed home.

Chief Financial Officer Bob Rooney summarized changes the state required after its review. The Division of Local Government Services directed amendments that reduced appropriations by $151,000 and moved about $900,000 in health benefit budget items outside the municipal cap. Rooney said other adjustments included a $97,056 reduction to the public employees' retirement system appropriation and a $22,800 increase to the police and fire retirement appropriation. He listed a net $76,744 reduction to inside-cap appropriations and a $60,244 reduction to utilities. On the revenue side, Rooney said municipal relief funds of $29,001.81 were added and delinquent-tax receipts were lowered to balance revenues with appropriations.

Municipal auditors Bud Jones and Brian Gibbons of Novace attended and were introduced by the manager; they did not recommend changes to the budget's bottom line during the meeting. Council members who spoke during the adoption emphasized sinking funds and long-range planning embedded in the spending plan, and the council voted to approve the ordinance and related amendments by roll call.

Council and staff said the overall property tax bill still depends on county and school levies; the manager noted an illustrative distribution presented in the meeting: approximately 62% of a typical property tax bill goes to the Board of Education, 24% to the village, 11% to the county, with the remainder to library and open-space levies. Council members and the manager said the large added assessment from the former hospital reduced the school board's share of the increase for many taxpayers when the school district incorporated the new ratables into its budget.

Multiple residents asked questions during the public hearing about the Valley Hospital assessment and pending tax appeals. Village officials confirmed the assessment was prepared by the tax assessor under state guidelines and noted that tax-appeal litigation is pending; they said the municipal budgeting and collection process relies on standard mechanisms such as reserve for uncollected taxes and the tax sale process rather than ad hoc exclusions for any single property.

The budget was adopted as amended and several budget-related resolutions were passed by consent. Officials said department directors will present additional project detail in coming weeks and noted public meetings where budget topics will continue to be discussed.

Less-critical items discussed in the meeting included contract awards, Ridgewood Water project resolutions, and scheduling for upcoming council work sessions and public meetings.