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Peters Township proposes .1-mill tax increase

By Harry Funk staff Writer hfunk@thealmanac.Net 3 min read
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A proposed .1-mill increase in Peters Township real estate taxes would cost the average homeowner an extra $34.

Township manager Paul Lauer gave the figure during a public hearing regarding Peters’ 2018 budget prior to council’s Nov. 27 meeting. No one from the community attended to comment.

Council is scheduled to vote to adopt the $16.9 million operating budget, plus $4.5 million for capital projects, on Dec. 11. The new tax rate would be 1.622 mills.

“I think that no one here is keen on that,” council member Monica Merrell said about the increase. “But I think everyone who sees everything that’s going on, out in the public, would be anticipating something. We’ve held the line for a long time.”

Lauer cited the township’s $9 million-plus bond issue in 2016 for the purchases of half the former Rolling Hills Country Club property and a new $1 million aerial truck for the fire department, as a primary reason for the increase.

“While last year’s revenue in part covered that increased debt service,” Lauer said, “the fact of the matter is that there still was a portion of it that resulted in an additional burden to the township.”

Another concern is the upkeep of aging township structures, in the wake of this year’s replacement of the police department’s heating and cooling system.

“We’re starting to see the need to spend money on those kinds of things to keep the buildings in good shape,” Lauer explained. “We have, over the years, constructed a number of facilities that I think the community can be proud of. Our challenge is maintaining those facilities.”

The capital budget, he said, includes spending on several onetime projects that represent significant expenditures, such as $475,000 earmarked for storm-sewer improvements on Sugar Camp Road.

“The other one that I would like to point out to you, because it really is a commitment for future spending of much more significant size, is the design of the Rolling Hills roadway,” Lauer told council.

He referred to the street that is to traverse the property, which is split between the municipality and Peters Township School District, with plans for a community park on one side and a new high school on the other.

Each entity will contribute $250,000 toward the design, but Lauer pointed out that costs would mount substantially in the construction phase.

“Quite honestly, I believe the only way that can be done is for the township to borrow funds to complete that project,” he said. “Even if the township decides not to expend substantial sums of money in the actual development of the park, itself, you are committed to assisting with the cost of that roadway.”

Revenues

As far as revenues, real estate taxes are expected to generate more than $5 million for 2018, with about $300,000 attributable to the millage increase.

“I think that’s an adequate amount for now,” Lauer said. “I have always appreciated the fact that council’s been very thoughtful about making sure there are adequate funds to be able to do that which is needed, but also being good stewards in terms on not increasing taxes beyond where they need to be.”

Other major sources of revenue include earned income tax, anticipated to bring in $6 million, and real estate transfer tax, $1.5 million.

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