Wildwood Making $$$ Off Car Accidents

This seaside resort is reaping the monetary benefits of becoming the first municipality in Cape May County to charge drivers for costs associated with automobile accidents.

Runaway property taxes prompted the move last year to fee-based services in Wildwood, home to the state's best beaches, according to a statewide poll earlier this year -- and the highest tax rates in the county.

A quarterly report published in August revealed that about $10,000 had been raised through the car-crash fees, according to a report in The Press of Atlantic City.

The fees vary from $750 for a fender-bender in which fluids spill onto the road to as much as $2,500 for accidents in which victims have to be pulled out of their cars.

City officials say the fees mostly affect tourists rather than local residents who already pay property taxes.

"We are a tourist town. Rightfully so, if a tourist has the accident, why should the local taxpayers foot the entire bill?" Wildwood Commissioner William Davenport told the newspaper.

Other towns on or near the New Jersey shoreline charge similar fees, though the amounts vary.

Linwood, about 10 miles southwest of Atlantic City, charges $250 to clean up spilled oil, antifreeze or fuel from an accident, while neighboring Northfield charges $75. Atlantic City charges $70 for similar services.

"We're trying to cover our costs a little bit," Northfield Assistant Fire Chief Lauren Crooks told The Press. "It's a small effort to take the burden off the shoulders of taxpayers."

Not all towns have followed suit. Last month Ocean City's council rejected a fee plan over concerns that tourism could suffer.

Some states, including Pennsylvania, have put restrictions on emergency services fees.

The fees are often paid by insurance companies, but not in all cases, according to Rachel Moore, director of the Insurance Council of New Jersey, a trade group.

"If it's not part of coverage, some insurance companies might not pay," Moore told the newspaper.

Moore added that the fees likely would not affect drivers' insurance premiums.

"Insurance rates aren't based on outside fees; they're based on risk," she said.