Municipal Budget Would Cost Average Taxpayer Additional $152

Borough officials introduced a municipal budget for 2011 Tuesday night in the amount of $18,429,052 which would mean an increase of $152.88 for taxpayers based on the average home value of $436,800, if approved in April.

Five council members voted in favor of introduction. Councilman John Dingertopadre abstained from voting.

The overall budget increases by 2.4 percent from 2010. The tax levy, or amount to be raised by local taxes, in the amount of $14,569,290 increases by 4.2 percent from 2010.

According to Borough Administrator and Chief Financial Officer Mike Kronyak the tax levy increase includes the state mandated 2 percent cap however that cap does not include increases in health care and pension costs which is what is reflected in the additional 2.2 percent increase.

The 2 percent state-mandated cap amounts to an increase of $279,603. Added to  the cost for increases in health care in the amount of $113,519 and pension increase in the amount of $190,648  it totals an increase of $589,139.

Council President Pamela Link, commissioner of finance, stated during her report on the budget that revenue decreased by 5.4 percent.  Kronyak has also cited decrease in revenues along with surplus and other factors that have attributed to making budgeting a challenge this year.

A public hearing will take place Tuesday, April 26 in which the public can speak on behalf of the budget. During the time leading up to the public hearing amendments can be made to further reduce the amount to be raised by local taxes, Kronyak, stated.

“These are challenging times and even though the borough is introducing a budget tonight that shows an increase we are determined to work hard to reduce it,” stated Mayor Rose Heck during her mayor’s report.

Last year the borough lost more than $250,000 in state aid leaving the borough with $100,000. The governor announced last month there would be .

The total 2010 budget had amounted to $18 million with a tax levy, or amount to be raised by local taxes, in the amount of $13,980,150 which was up by roughly a 4 percent - more than half a million dollars –from the 2009 tax levy in the amount of $13,436,383.

Copies of the introduced budget are available in the borough clerk’s office and will be available on the borough’s web site.