New Palestine 2023 budget calls for 7% raise for employees

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New Palestine Clerk Treasurer Yvonne Jonas

NEW PALESTINE — Officials with the Town of New Palestine presented their 2023 budget during a public hearing at the most recent council meeting.

The projected cost to run the town in 2023 is about $200,000 more than last year, officials noted in a presentation. A closer look at the numbers showed employee salaries will be increased by 7% and that overall salaries and benefits will increase by approximately $32,000.

Other significant budget changes surround increases in gasoline, legal services and capital outlay to provide a local match for the Community Crossings Grant Program.

The town’s overall operating budget for 2023 is estimated at $1.9 million and is broken into 10 different categories with the $1.25 million general fund and $266,295 motor vehicle highway fundbeing the largest two funds.

The current budget adopted is $1.7 million, making the 2023 proposed budget approximately $197,940 higher than this year.

Officials from Krohn and Associates helped town officials prepare the upcoming budget. Jarrod Hall, a CPA from Krohn noted during the budget presentation the assessed value of the town for 2023 has increased by 35%.

“We’ve seen a lot of community increases, but this [is the] largest percentage we’ve seen in the office,” Hall said. “Unfortunately, that doesn’t mean you get to generate a lot of extra money because there are levy caps in place.”

However, Hall noted there are ways through appeals that they can get more funds through an increased levy to help support the additional services required to support all the growth the community has seen.

“We will be applying for that levy growth,” Hall said. “The increase would help generate another $20,000 in property taxes.”

Hall noted they’ll have a resolution on that issue that will need approval at the council’s next meeting. He did however note, thanks to all the growth, the tax rate is expected to actually go down from .42 cents to .38 cents.

The budget is expected to be approved at a meeting in October before it is submitted to state officials for approval. While council members seemed content with what was discussed on the budget, council member Brandee Bastin brought up the fact everyone in town is getting a cost of living increase as well as a raise except the clerk treasurer, Yvonne Jonas, whose position is elected.

Bastin looked into what other small towns are paying their clerk treasurer and said, due to the skill and capacity needed to do the job properly, Jonas is under paid.

“I continue to maintain and I mentioned this at the last meeting, we are off base if we don’t consider the clerk treasurer salary,” Bastin said.

Bastin noted not only has Jonas gone above and beyond getting things organized now, but in the future if they want to attract someone to do the complicated job, they’re going to need to have a salary that pays well.

“I think we should consider increasing the salary,” Bastin said. “I think we should at least honor the 7% increase.”

The town pays Jonas just over $47,000 a year. Bastin noted officials in Morristown, a smaller town, pay their clerk $55,000.

Town officials have been reluctant to raise the salary due to the fact once the salary is raised, by law, it cannot be lowered.

Jonas noted she does indeed have a complicated job.

“It’s not easy to wrap your mind around this job and it’s not something anyone just walking off the street is going to be able to do,” Jonas said.

Jonas has one more year on her term and has not yet indicated if she plans to run for the position in the future.

“It’s a point well taken and we should look into it and see if some adjustments should be made,” council president Bill Niemier said.

The council decided to make a decision on the salary and, if needed, to make changes when they discuss the salary ordinance in the near future.

If the council does give the position a 7% raise, it would take the clerk treasurer position up to $50,421 per year.