FARRELL, PA. Council approves property tax rise

The average residential taxpayer will pay between $12 and $14 more per year.
By HAROLD GWIN
VINDICATOR SHARON BUREAU
FARRELL, Pa.-- City residents will see their first property tax increase in nine years in the 2002 municipal budget.
City council voted 6-0 Monday, with Peter Stephanopoulos absent, to enact a 1-mill tax increase for next year. The proposal will require a second reading scheduled for Dec. 27.
That's 1 mill under the new tax assessment ratio, said LaVon Saternow, city manager. It's the equivalent of 3 mills of current taxes, she said.
Mercer County has shifted its tax assessment ratio from 33 percent to a full 100 percent of assessed value beginning next year, and Farrell's tax assessment will be the same.
That means 1 mill next year equals 3 mills this year, Saternow said.
Still, the average residential taxpayer in Farrell will see their tax bill rise only between $12 and $14 a year, she said.
One mill will generate just $33,000 in additional revenue, she said.
Mayor William Morocco said it will be the first property tax increase in nine years.
Concerns: It will provide the city with a little cushion, he said, in the event that a projected 2001 year-end balance of $79,000 that is to be carried over into 2002 fails to fully materialize.
Saternow said council also is concerned that, with the economy slowing, projected wage tax receipts of $695,000 next year may not be realized.
The new millage will stand at 22.67 mills and will help fund a general fund budget of $2,062,094, which reflects a spending increase of about $79,000.
The first of two required readings of the budget ordinance also passed 6-0 with final adoption slated for Dec. 27.
Enterprise zone: In other business, council voted 6-0 against allowing Shenango Township to join the Shenango Valley Enterprise Zone.
Shenango had asked to have some of its industrial zoned land become a part of the zone and five of the six voting zone member municipalities have to approve the expansion.
Morocco said a group from one of the affected areas in Shenango Township has asked zone members to reject the township proposal.
The group, calling itself the Mitchell & amp; Fennell Road Committee, sent Farrell and other municipal members of the zone a letter saying that the land in question was farm land until it was rezoned for light industrial use in 1983. It hasn't been developed and remains farm land.
About 90 homes surround the area and would be adversely affected by the change, the letter said.
Other zone members, including Wheatland, Sharpsville and Greenville, already have approved the admission of Shenango Township, but Greenville Mayor Clifford Harriger said his council might reverse itself in light of the letter from affected residents.
The other two members, Sharon and Hermitage, have yet to vote on the issue.
gwin@vindy.com