Lien Letters Spur Petition in Cecil Township

Editor's Note: This story was modified at 8:20 a.m. to correct a name.

Francis Gallagher's monthly income is about $1,500, and he said he will have to spend the lion's share of it this month to pay off money he owes on a tap-in fee so a municipal lien won't be filed against the property he rents from his brother.

Gallagher's was one of 36 properties in the Fleeher Plan in that received the letters, which were dated Nov. 21. The letter explained that if the sum of $1,625 was not paid by Dec. 21, then a lien would be filed.

The letters were prepared by Gaitens, Tucceri & Nicholas, a Pittsburgh law firm.

That means that in addition to the tap-in fee, those who don't pay by Dec. 21 will also be responsible for additional interest, a $100 administrative fee and legal fees in the amount of $260.

And Gallagher said he thinks those amounts—and the approach taken by the authority—are severe.

"How many people can afford to dish out $1,600 in a lump sum?" the Cecil retiree said. "That's pretty rough."

Rich Gooding, another Cecil Township resident who received a lien letter, agreed.

"That's exorbitant," he said of the fees.

As for the approach?

"I just think the way they did this was piss poor," Gooding said.

Gallgher said he doesn't understand why the authority didn't offer residents a payment plan—and said that requests for help from the staff there did him no good.

"They said I got my second notice and I said, 'I'm sorry but I never got a first notice,'" he said.

So Gallagher has decided to fight back, hoping there is "safety in numbers."

The Windcrest Road resident said he is starting a petition asking that the authority accept payment plans instead of file liens.

But authority Manager Dennis Bell said there are no other options available.

"That protects the government," he said. "We have to file these liens. We have no choice."

He added that those struggling to pay the entire amount at once may come into the office and make payments—but he was clear: It would not be classified as a "payment schedule" and any amount left on the account by next month will be liened.

He acknowleged that wasn't the case at the beginning of the project. Bell said it's only him and an assistant in the office, and that offering a payment plan to all 200-plus properties affected by the sewage project would be too paperwork intensive.

"We didn't want to be in a position to deal with all of that," he explained.

But he was clear: First notices for the tap-in fees were sent out June 15, and residents began receiving correspondence about the projects in years prior to that.

But state Rep. , D-Cecil, was also clear: For the authority to say that there is no other option is "absolutely not true."

"I am receiving perpetual complaints. All people want is a reasonable payment plan and when they ask for one, they are told they can't have one and they get slapped with additional legal feels and a threat of liens that will impact their credit scores," he said Wednesday.

And as someone "who has spent more time studying the issue than I'd care to admit," White said he knows for certain there is nothing in state law to preclude an authority from setting up payment plans with customers to avert liens.

In fact, he said his staff confirmed the information with the Pennsylvania Municipal Authority Association.

"They not only confirmed that's correct, but they are working with us on a model payment plan," he said.

White added that would require municipal authorities to offer a payment plan with sewage projects in excess of $1 million.

White explained that legislation stemmed from similar problems that arose during the Millers Run sewage project back in 2008—when residents were forced to pay a $6,200 tap-in fee.

He also said he will no longer write letters of support for grants or loans for sewage projects by any authority until it can prove that a system for payment plans is in place.

"How many times do we have to go through this before they do the right thing?" the legislator said.

In the meantime, Gallagher asks anyone who would like to sign his petition to call him at 724-231-7748.