Government

Study Finds Taxes Could Be Slashed If Seaside Park-South Seaside Park Merger is Approved

by
Daniel Nee
March 3, 2026

Route 35 South in South Seaside Park. (Credit: Monmouth-Ocean MLS)

A study on the potential merger of Seaside Park and South Seaside Park – now under the jurisdiction of Berkeley Township – showed a potential for significant property tax reductions should it occur, though there are other considerations besides the property tax levy itself.

The study, authored by Government Strategy Group, of Wall Township, is a 293 page document that will be the subject of a public information session this Thursday. It has been released publicly on Seaside Park’s municipal website, and includes an executive summary of the firm’s findings. As it currently stands, South Seaside Park has won the ability to secede from Berkeley Township after a court ruling, but the Seaside Park borough council must accept their petition to join the borough through a supermajority vote.

During several information sessions that preceded the release of the report, residents signaled their primary concerns were the impact on taxes and spending, the question of how much debt service the borough might have to take on if they accepted the new community into their own, and how essential services like police might be affected.

Regarding taxes, the news would be theoretically good for residents of both the borough and the incoming neighborhood. If annexation proceeds, the report stated, Seaside Park residents would likely see an average municipal tax decrease of 40 to 51 percent depending on property class, while South Seaside Park residents would see similar reductions. That outcome assumes $8.98 million in debt assumption, about $670,000 in one-time transition costs, and the hiring 13 new employees over the next 12 to 18 months. It would also be impacted by external factors such as school funding formulas and regionalization laws that are out of the control of the municipal government.

“Under modeled assumptions, municipal tax rates could decrease meaningfully; however, outcomes are highly sensitive to debt allocation methodology, school funding formulas, and implementation decisions,” the report stated.

The amount of debt Seaside Park would have to take on remains a question until after approval – one of the downsides to accepting the petition. Should the annexation vote pass: “On the Monday following the effective date of the ordinance at 10 a.m. at the Seaside Park municipal building there will be a gathering,” consulting attorney Jean Cipriani explained, noting that even the time of the meeting is dictated by the state statute. Three people from Seaside Park, appointed by the council, and three people appointed by Berkeley Township’s council will attend the meeting.

“The subject there is, ‘Does Seaside Park owe Berkeley Township money?’” Cipriani said. “They would say, ‘this portion of our debt is attributable to South Seaside Park, and Seaside Park has to take that on.’”

The catch is that Seaside Park officials won’t know Berkeley Township’s request until that very meeting. Of the six people appointed to decide the issue between the two towns, four must agree.

“If four people do not agree, then after 60 days, Seaside Park must apply to Superior Court and say, ‘we can’t come to an agreement,’” Cipriani said. “The assignment judge for Ocean County would then appoint three people and they would have 30 days to come to a decision. That decision is final.”

Besides the open question on debt load – which, at least, now has an estimate from the consulting firm – the study’s authors found Seaside Park generally in a good position to annex its southern neighbor.

As it currently stands, there are 13 sworn officers within Seaside Park’s municipal police department. This number would likely have to rise to between 18 and 20 officers in order to maintain service and squad rotations. About two additional new special officers would be required for summer duty, and either one or two new patrol vehicles would need to be purchased. The study also found that some radio system upgrades would be needed to ensure there were no gaps in coverage. In all, the officer-to-population ratio remain virtually the same.

Fire coverage and water rescue coverage levels would remain functionally the same without any significant changes, the report’s authors found.

With regard to zoning, though the building regulations between the two towns are similar in many respects, new zones would likely have to be approved to accommodate special scenarios such as Midway Beach – a private beach community within South Seaside Park – and some commercial standards. This process, however, mainly consists of adopting ordinances rather than making major substantive changes to the master plan or internal codes.

“This study concludes that annexation of South Seaside Park is neither inherently compelled nor inherently prohibitive,” it said. “It is a policy choice that carries identifiable responsibilities, costs, and opportunities.” The report continued: “Financial impacts are manageable and transparent when grounded in accepted municipal finance principles. Service delivery standards can be reached over time with appropriate staffing and capital investment.”

The entire 293 page report is available here. Seaside Park will host its information session at the Council Work Session scheduled for Thursday, March 5, 2026 at 7 p.m. in council chambers, located at Sixth & Central Avenues in Seaside Park, above the police station. The study’s authors will be available, as well as a planner hired by the borough.