Northampton County Council passes budget, keeps taxes level

FROM THE EXPRESS TIMES

Northampton County Council passed an amended version of the 2012 budget tonight, but ignored County Executive John Stoffa's recommendation to raise taxes.

By an 8-1 vote, the council voted to keep county property taxes at the current 10.8 millage rate. The owner of a property with a tax value of $100,000 pays $1,080 in county property taxes per year at the present rate.

Council Vice President Peg Ferarro was the lone "no" vote.

Even moments before the meeting, it was unclear if there was enough unity on the council to produce an amended budget. Last week's effort failed by a 5-4 margin, but Councilmen Lamont McClure and Thomas Dietrich switched their votes after council restored $400,000 into the Environmentally Sensitive Open Space program. The council had cut spending there by $827,500 last week.

Council President John Cusick, who was criticized by McClure and Councilman Ron Angle last week for not securing enough votes to pass the budget, said he encouraged McClure and Dietrich to make their amendment. However, Cusick was still unsure if this week would be any different than last week.

"I didn't know," he said.

With the addition of Thursday's amendments, the council cut approximately $2 million from Stoffa's proposed $331.4 million budget . However, the cuts still would have required a tax increase of 0.5 mills to balance the budget by the administration's projections.


Express-Times File PhotoNorthampton County Controller Stephen Barron
Before the meeting, County Controller Stephen Barron addressed the council about a memo he provided them earlier. In it, he said the county increased its reserve fund by approximately $23 million over the last five years. The administration kept projecting new needs and financial struggles, but it instead improved its financial stability during a time when the economy collapsed, he said.

"These radical inaccuracies year after year are clearly something more than budgeting uncertainty. While I agree that budgeting is a best guess based on several factors and trends, I can see no factors or trends that would cause a difference this large, in such a short period of time, in a budget of about $330 million," the memo said.

Cusick credited Barron's comments as the determining factor in his vote to keep taxes level.

"We heard from the county controller, who reminded us we're going to have a surplus this year," Cusick said.

Stoffa blasted the council's vote, saying they should have trusted Budget Administrator Doran Hamann's projections.

Hamann said last week the county faced a $10.8 million deficit if taxes were not raised. Barron said Thursday there would be a net of approximately $15 million remaining after an emergency reserve and swaption were accounted for at the end of this year.

"It think it's an irresponsible vote," Stoffa said. "What I heard today is that they believe Mr. Barron over Doran Hamann, and that's a mistake."

Hamann declined to comment, other than to say the truth will eventually come out.

"I think we'll know Dec. 31, 2012," he said.

Stoffa has the option of vetoing the tax rate, but it would most likely be overridden. Stoffa said he did not want to drag out the process any longer, but also said he's considering the veto as a symbolic gesture of his displeasure.

"I don't want to cost the tax payers money," he said.

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STEPPING DOWN

Thursday's Northampton County Council meeting was the last for council members Ron Angle, Michael Dowd and Ann McHale, who served a combined 37 years on the council. Angle and Dowd each lost their elections this year, while McHale chose to step down after serving 13 years

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