Taxes climb to 1.87 mill

Some homeowners will pay about $112 more in taxes per year, a supervisor said.
Neshannock, Pa. -- Township residents will see the first tax increase since 1998 next year.
Township supervisors introduced the $10,479,503 2006 budget this week. Total millage in the township will increase from 1.42 in 2005 to 1.87 in 2006.
Township secretary Leslie Bucci said 1 mill of taxes generates about $605,000. She said it is very unlikely that the township ever collects 100 percent of the tax dollars owed.
The General Purpose, or general operating, tax will increase from 0.80 mill to 0.83 mill. The debt service tax reflects the largest increase. The millage was set at .20 in 2005 and is proposed at .42 for 2006.
The debt service tax is used to make the bond payment for the township in the amount of $252,737.
Bucci said the township was able to avoid increasing taxes the past two years due to money in reserves from a certificate of deposit.
.10 mill new taxes
Two additional taxes created by the state Legislature for all second-class townships are included in the new budget. A hydrant tax was set at .10 mill to offset the cost of maintaining the 250 fire hydrants in the township.
Supervisor John DiCola Jr. said the Pennsylvania American Water Company has been given approval from the state to charge all municipalities for their fire hydrants.
The hydrant tax would only help defray the $4,000 monthly bill the township pays to the water company, DiCola said.
Another .10 mill will be taxed for the newly created revolving fund tax. The supervisors implemented the tax to plan for future permanent capital construction infrastructure improvements.
Bucci said a house in the township with an assessed value of $257,000 could see a total increase in property taxes of about $112 for the year.
"At first I was a little hesitant in raising taxes, but then I realized it is wiser to move taxes in small increments rather than to wait and need to raise taxes in large amounts," DiCola said.
Bucci said health-care costs for township employees have increased 11 percent, and utilities are budgeted for a 46 percent increase based on projections.
The budget will be available for public viewing until Dec. 29. The public can give its input on the document at two more public meetings, set for 5 p.m. Dec. 21 and Dec. 29 at the township municipal building.