New tax, plus tax hike considered in Birmingham

Posted by Rich Schwartzman on October 22, 2009

Birmingham Township supervisors are considering increasing
the township real estate tax while also thinking about adding a local services
tax.

No final decisions were made, but the two taxes were
discussed during a public budget meeting on Oct. 19. The local services tax, a
tax of $52 per year for people who are employed within the township, must first
be approved after a hearing. That hearing is scheduled for 6:30 p.m., Nov. 16.

The local services tax would bring in an estimated $20,000,
according to Supervisor Al Bush. He said the township needs a way to increase
revenue while lowering costs.

Bush, however, opposes increasing the real estate tax from
1.5 to a proposed 1.6 mills. Supervisors voted 2-1 to include the increase on
the next budget draft, but did not hike the tax yet.

A mill is a tax of
$1 on every $1,000 of assessed property value.

Supervisor Bill Kirkpatrick proposed the increase, saying it
will cost the average household roughly
$.63 per week and make up for a continually shrinking carry forward.
Carry forward is the amount of money the township has left over from a previous
year’s budget.

Bush said Kirkpatrick’s point was valid, but that he, Bush,
is “anti-tax increase at this time.”

Kirkpatrick also said he is not interested in raising taxes,
but sees no alternatives in the wake of increasing costs. He sited the need to
follow state mandates of paying prevailing wages when it comes to roadwork that
increases the cost of repairs.

He also said the township has $90,000 in loans that will
need to be paid back.

“We need a reliable stream of income,” Kirkpatrick said.

Supervisors’ Chairman John Conklin said the tax could be
lowered, if possible.

Speaking against the tax was resident Harry Miller. He also
suggested that township employees be given an increase in pay to offset the
local services tax of $52 per year.

Resident Martin Wolfe said he had no problems with the
property tax increase since it would amount to no more than $30-$35 per year.

About Rich Schwartzman

Rich Schwartzman has been reporting on events in the greater Chadds Ford area since September 2001 when he became the founding editor of The Chadds Ford Post. In April 2009 he became managing editor of ChaddsFordLive. He is also an award-winning photographer.