Bethel Park council approves tax increase in 2019 budget
Property tax bills in Bethel Park will be higher next year after municipal council passed a 2019 budget Nov. 12 that includes a tax increase of nearly 10 percent.
The nearly $28 million general fund budget is about 7.7 percent larger than this year’s spending plan. Much of the increase can be attributed to the June 20 flood.
The deluge caused significant damage to the municipality’s infrastructure. To date, Bethel Park has spent just under $1 million to repair roads, storm sewers and other infrastructure.
The municipality pulled from its reserve fund to pay for that and the 2019 budget calls to replenish that fund somewhat, with a 25-percent increase to the reserve fund allocation, to $2.2 million. The budget also includes plans to nearly double the spending on stormwater improvements to over $1 million.
“Some of these issues are very difficult and very expensive,” Councilman Mark O’Brien said.
The 0.25-mill tax increase brings the total millage rate to 2.78 mills. The tax increase means that the owner of a house valued at $100,000 will pay an extra $25 a year.
“I know it’s not easy on people. It’s not easy on us either,” Councilman Jim McLean said.
The higher tax rate will yield an additional $600,000 in revenue for Bethel Park.
The new millage rate passed by a 8-1 vote. The newest member of council, Timothy Campbell, dissented. He said he recognized the need to rebuild after the flood, but he would have preferred a one-time tax increase that could be eliminated once the infrastructure repairs are made.
“This is not a one and done tax increase,” Campbell said.
Other council members noted that the cost to not only repair but improve the stormwater infrastructure in Bethel Park would mean a lot of time and money. Council President Tim Moury said Bethel Park could simply repair the damage and delay any improvements, but that would likely mean the municipality would pay much more later.
Councilman Don Harrison also had reservations about the tax increase. He voted for the new tax rate but against the budget. He argued that raising property taxes places an undue burden on older residents and he argued for an increase to the earned income tax to offset some of the property tax increase.
In addition to the 2019 general fund budget, council also approved budgets for the sewer fund of $14.4 million, the capital fund at $5.5 million, liquid fuels at $990,000 and the fire department, which will cost $1.3 million.
In another matter, McLean noted that Bethel Park voters approved all four changes to the home rule charter in the Nov. 6 general election. That means the charter, which is essentially Bethel Park’s constitution, will be changed.
The new changes will correct a typographical error in the original document, make the charter gender neutral and change the citizens’ initiative process.
Now, if a citizen challenges a tax levy, council can continue to collect taxes under the old rate until the challenge process is complete. Before, council might not have been able to collect taxes at all if a citizen challenged the tax increase.
Another change will eliminate the second chance to garner enough petition signatures to start the challenge of an ordinance.
Harrison recommended against the changes and called his fellow council members “a group of law violators.” He has long alleged that council violated the home rule charter when it voted to place a referendum on the 2013 primary ballot to raise taxes for the fire department. Harrison contends that new ordinances are not effective until 30 days after council approval, but in 2013, Bethel Park officials sent the paperwork to the elections office days after the vote.
Other council members disputed Harrison’s characterization.
“We are planning for the future here, but some people like to live in the past,” said Moury, who suggested that the result of the referenda is a clear mandate against Harrison and his antics.
McLean thanked members of the Home Rule Study Commission, who met regularly over 18 months in 2014 and 2015 to come up with several potential changes to the charter. Voters have approved seven changes in the years since.
In another matter, Rich Pahler of Logan Road urged action on stormwater management and said historically bad decisions from council contributed to the flooding. Pahler has addressed council nearly every month since the June flood.
He said municipal government should never have allowed his house, which was built in the 1950s, to be built at all because it is so prone to flooding. As a result of those bad decisions decades ago, it has caused headaches to numerous people who have houses within the flood plain.
“We need a long-term plan to fix these problems, not Band-Aids,” he said.
Two residents of Criss Road urged council to build a fence at the end of their cul-de-sac or take other measures to prevent a resident of another street from driving through the cul-de-sac and onto the grass to access her property.