Oct 19, 2016

To the Editor:

Daniel Allen, a candidate for the Beach Haven Council with a degree in economics, is in a unique position as he can actually slow the town’s tax rate. No other candidate has this ability.

Mr. Allen’s family business property is separated by a Beach Haven paper street, South Pennsylvania Avenue, which can be seen on the borough website. The street is not paved, has no storm sewer, no street sign along the 200 feet it runs from Pelham to Liberty avenues. The street, which is 50 feet wide, abuts a 25-foot-wide lot the Allens own to the east of the street. The paper street provides the Allen family marina access to most of the boat storage area they operate. The Allens provide no income to the borough for their use of the paper street.

Daniel Allen has the ability to provide a win for the borough and his family, and ensure that he will be able raise his children in Beach Haven. His family will reap a huge benefit should he, after an appraisal, purchase South Pennsylvania Avenue. The family will own a building lot 75 feet wide and 200 feet in length from Pelham to Liberty Avenue. Consider the number of new homes or condominiums that could be built on this site, each with a water view and potentially dock space for boats. If the Allen family does not wish to build the homes, they could store more boats there for a better return on their investment.

Beach Haven would also win with an Allen purchase of the paper street. Based upon recent sales of water view property, it would not be unreasonable for a sale of the paper street to return $1 million to the borough and the additional real estate tax the property would bring after the sale. Should the Allens or another purchaser build homes or condos on the paper street, the real estate taxes to Beach Haven would exceed $42,000 based upon the 2017 rate.

Last week Beach Haven taxpayers learned for the first time the new municipal building will cost $5.7 million. When completed the borough will receive a grant covering $1.7 million of the cost. The balance of $4 million will be paid by Beach Haven taxpayers over the next 30 years. Should the borough be able to obtain the reasonable interest rate of 1 percent, about $150,000 annually will be the Beach Haven taxpayers’ cost to repay the $4.0 million loan.

The numbers change dramatically with the sale of the paper street to the Allen family or another purchaser. The loan would be reduced to $3 million and with the initial minimum real estate tax of $42,000 annually, the cost to all taxpayers for the new municipal building is reduced 50 percent to less than $73,000 annually.

Howard Buerkle

Beach Haven


Comments (0)
If you wish to comment, please login.