Supervisors Unanimously Approve 2012 Budget, Tax Levy

NEWTOWN SQUARE–At a special meeting on Thursday, Board of Supervisors unanimously voted to approve the 2012 budget with a 6.4 percent tax hike. The budget passed 3-0 with Supervisors Dr. Ross Lambert and Linda Houldin absent from the meeting.

The average homeowner–with a home assessed at $250,000–in Newtown Township will look to pay about $40 more in real estate taxes next year.

The 2012 budget calls for a total of $7,774,919 in general fund expenditures. The following expenditures were approved in next year's budget:

• General Fund Expenditures (general purposes)–$2,686,183
• Police/Fire/Ambulance–$3,651,081
• Parks/Recreation/Library–$310,249
• Insurance/Debt Service Project–$1,097,406

The tax rate was also unanimously approved by the supervisors on Thursday night with a real estate tax levy of 2.6 mills on each dollar of assessed valuation from 2011's 2.4396 mills. In addition, the supervisors approved the increase of the street light tax from 0.25 mills to 0.4 mills in the 2012 budget.

Although the supervisors approved the preliminary budget at their last budget meeting on Nov. 28 with a fire hydrant tax increase from 0.064 mills to 0.1 mills, the supervisors approved the fire hydrant tax to remain the same as last year at 0.064 mills on each dollar of assessed valuation on Thursday night.

According to Supervisors Chairman Joseph Catania, the increase in millage translates to approximately $300,000 in revenue from real estate taxes for 2012–from approximately $3.6 million in real estate tax revenue to $3.9 million.

"It takes into account what we discussed in the budget in expenditures from the Municipal Authority and as a result of the surplus that was used in last year's budget of approximately $400,000. So, actually, it could've been a lot worse," explained Catania.

Though he voted to approve the 2012 budget Supervisor George Wood shared a couple of items in the budget he did not agree with, which included hiring CenTax as the township's primary tax collector in place of the township's current tax collector Marie Richards.

"I’m concerned about what we’re doing," said Wood. "I think particularly with Marie Richards. I think that tax issue is overstated. I don’t think we’re going to achieve what is anticipated. Marie had offered to perform that service that she’s performed for years. I think she would come in at about $6,000 in compared to about $10,000. I just have a problem with that. That’s my view."

Additionally, Wood mentioned the health insurance plan deductibles for supervisors and believed that the plan should not change.

"I think the code states that the numerations are supposed to remain the same throughout the tenure," said Wood. "I'm happy to change it when it's done legally. So, to that extent–those are the only two items I disagree with in this budget."

But Newtown resident Nathan Glazer, stated he had a problem with the supervisors taking a health plan at all.

"That deductible shouldn't be there in the first place," addressed Glazer to the Board. I continue not to understand the justification for it...I think it’s fundamentally wrong. And in an era where most the people in this community are being challenged to deal with this themselves, I don’t see why the Board achieve the special status."

But Wood argued the plan was put in place from previous administration and should be addressed at the proper time. "I'm not saying it shouldn't change but it should change at the right time."

Trio also announced on Thursday night that a surplus the new budget will see a surplus of $92,611 and a reimbursement of $20,000 from FEMA (Federal Emergency Management Agency) for Hurricane Irene.

Considering the township's original number they were toying with––the three supervisors applauded the efforts of Trio and Fischer to trim the tax increase down. Wood also commended newest Supervisor Ed Partridge for his commitment to work on the budget.