No new taxes in borough’s spending plan
WAYNESBURG – Property taxes will remain unchanged in a 2016 budget adopted Monday by borough council.
Council adopted a budget identical to the preliminary budget approved last month that lists expenditures of $1,651,774, which is $826 less than the current year budget.
Borough manager Mike Simms said he and the borough’s department heads were able to prepare a balanced budget partly by being more frugal in spending this year.
For the first time this year, Simms said, he started providing department heads with spending reports each month to give them a better idea of where they stand in regard to their budgets so they could make adjustments when necessary.
The borough has to watch its spending carefully because it is “revenue stagnant” in regard to property taxes, Simms said. With no new commercial or residential development in recent years, the borough’s assessed value has remained fairly unchanged.
Property taxes in the borough will remain at 9 mills. Of that, 7.5 mills are dedicated to the general fund; 0.6 of a mill to fire services; 0.6 of a mill to street lights; and 0.3 of a mill to capital street improvements.
Major general fund categories include $593,300 for police department expenses; $590,568 for miscellaneous expenses, which includes hospitalization, retirement and insurance; $200,509 for general government; and $181,960 for public works.
General fund revenue includes $555,960 from real estate taxes; $359,396 from earned income taxes, $86,793 from local service taxes; $82,020 from police department revenue and $214,802 from Act 13 revenue.
In other business, council agreed to advertise new tax abatement ordinances. The existing ordinances expire this year. The new ordinances are the same as those adopted by council five years ago.
Tax abatement offers property tax breaks to those who build or improve businesses and homes in the borough.
The ordinances provide a five-year property tax abatement for business construction and improvements and a three-year abatement for home construction and improvements.
Council also approved a new 10-year agreement with West Penn Power for street lighting. Under the agreement, West Penn will change all borough streetlights to new LED lights, which will save the borough money on its electric bills.
Council voted to give $50 gift cards to all full- and part-time borough employees for Christmas. In the past, council has approved $100 gift cards for all employees. However, several council members suggested reducing the amount because of the borough’s fiscal condition.
The meeting was the last for council President Charles Berryhill, who has served on council for 40 years and decided to not seek re-election.
Council approved a motion naming the borough building after him.
“Mr. Berryhill has served the borough in a tremendous fashion for 40 years,” said Councilman Mark Fischer in making the motion.
Berryhill said his love of the borough is what kept him on council for so many years. “The people in the office, the people in the street department and the police department have all been so great,” he added.