Thursday, November 17, 2011

Upper Nazareth officials introduce budget with 83 percent tax hike

FROM THE EXPRESS TIMES

Upper Nazareth Township supervisors introduced a budget tonight that could hike real estate tax rates by 83 percent.

If the $2.3 million 2012 municipal budget is approved by the board, taxes would go up $135 annually for owners of homes assessed at the township average of $50,000.

The current budget is $2.5 million and the millage rate is 3.25. The proposed 2012 budget calls for a 5.95 millage rate. One mill equals $1 for every $1,000 of a property's assessed value.

Supervisors voted to advertise the budget for 20 days and don't expect to formally adopt the budget until December.

Municipal officials during tonight's board meeting attributed the proposed increase to an explosive population growth that has resulted in a need for increased services for the township's 6,000 residents.

Supervisors said the township population grew 40 percent within the past 10 years. The township now has more residents than Lower Nazareth Township and Nazareth borough.

Secretary Jeri Kronstadt said the township has used $1 million in savings over the past four years to balance the budget.

"Sadly, despite all our efforts, we are at that point where we can no longer just wait for that former growth and prosperity to return without risking financial disaster," she said, reading a statement from the supervisors.

Supervisors said they will offer a rebate program with the same qualifications as the Nazareth Area School District rebate program that will, depending on income, return up to 100 percent of the increased tax amount to financially troubled residents.

Other taxpayers would be able to tap into a payment installment program, supervisors said.

The township's growth has almost exclusively been residential. Compared with neighboring municipalities, the township has a small commercial and industrial tax base, therefore the majority of its tax burden falls on the residents, Vice Chairman Scott Sylvainus said in an e-mail prior to the meeting.

In dealing with growth, several municipal departments had to increase responsibilities, according to supervisors.

The public works department has to maintain the new 33-acre Tuskes Park, maintain many new streets and operate a drive-in yard waste facility. The police department now provides residents with around-the-clock patrol coverage.

Supervisors in July asked all municipal departments to cut their budgets 6 to 14 percent. The cuts resulted in a savings of $200,000 for the township, according to Sylvainus.

This is the second time the township is raising taxes in 20 years, Sylvainus said. Taxes went from 2 mills to 3.5 mills in 2005.

http://www.lehighvalleylive.com/nazareth/index.ssf/2011/11/upper_nazareth_officials_intro.html

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