Camden Council Reviews Multi-Municipal Tax Sharing Agreement Impact on Local Services

Camden Council members examined the Multi-Municipal Tax Sharing Agreement during their July 9 meeting. The measure pools a portion of commercial property tax revenue among participating municipalities and redistributes funds according to population and service needs. It directly affects Camden's 71,000 residents through changes to the city's annual budget allocations for roads, libraries and public safety.

The agreement stems from 2025 state legislation that required cities in the same county to adopt shared tax mechanisms by the end of 2026. Camden officials reviewed draft allocation tables prepared by county staff that project the city's net contribution at $1.8 million in the first year. Similar arrangements already operate in Essex and Union counties.

Residents will notice the effects in two main areas. The city's road resurfacing schedule lists 12 miles of local streets for work in 2027, funded partly through the redistributed revenue. Library operating hours at the main branch on Broadway could extend by four hours weekly if the projected transfer arrives on schedule.

Comparisons with neighboring municipalities

Under the same formula, neighboring Pennsauken is projected to receive $920,000 while Gloucester City expects to contribute $640,000. Camden's per-capita payment ranks in the middle of the six participating cities, according to the county allocation tables presented at the meeting. Policy analysts note that the structure follows the model used in the 2024 Bergen County pilot program.

Next steps for implementation

The council scheduled a public hearing for August 13 before a final vote. County officials expect to finalize transfer amounts after each municipality submits its 2026 audited revenue figures in September. The state Department of Community Affairs will review the agreement for compliance before payments begin in January 2027.