Staff writer
agillooly@observer-reporter.com
Frank Siffrinn didn't mince words: It's been a tough year.
After citing nationwide bankruptcies, unprecedented home foreclosures and federal intervention and increased regulatory oversight, he presented North Strabane Township's 2009 budget, which includes no tax increase.
"Despite this gloom and doom, the township emerged this year in a relatively strong financial posture," Siffrinn, township manager, said, adding that 2009 represents the 15th consecutive year without a real estate tax increase.
The supervisors on Tuesday approved a preliminary $4.65 million spending plan, that, if formally adopted next month, will keep the real estate tax rate at 11.48 mills.
One mill generates about $147,000.
The township expects to receive more than $2 million next year from The Meadows Racetrack & Casino next year for being its host municipality.
Total revenues are expected to increase by more than $230,000 next year, despite a continued downturn in some accounts directly related to the housing industry.
Siffrinn said that although building and new housing construction is expected to dwindle, proposed development on both state Routes 19 and 519, as well as on Racetrack Road, could "easily offset any loss in these revenue accounts.
The township budgeted $2.14 million for the police department in 2009, which represents an increase of more than $170,000 - a sum he attributed to salaries and increases health insurance rates. Those rates, Siffrinn said, are expected to increase by about 25 percent next year.
The budget includes a $62,000 earmark for two marked cruisers. The department also will receive $6,500 to purchase two mobile radios, a digital camera and other supplies.
Siffrinn also detailed the township's capital reserve fund, which is expected to be more than $2.76 million and pay the $875,000 yearly debt service on the $9.7 million bond issue the supervisors also approved at the meeting.
While that money has been pegged to fund a municipal park expansion, capital building projects and vehicle purchases, it also provides a $125,000 earmark for repairs to Galley Road bridge and another for $296,000 that will go to the township municipal authority to pay off debt.
The capital reserve account also will fund four local nonprofits, all of which asked for financial help from the municipality.
The spending plan calls for Canonsburg Hospital and Canonsburg Lake Committee to each receive $50,000 in both 2009 and 2010. The budget also includes contributions to the Washington County Humane Society and the Greater Canonsburg Public Library. Each of those organizations is slated to receive $25,000 in both 2009 and 2010.
After the formal presentation, board president Brian Spicer said that while the influx of slots revenue from the Meadows has helped the township financially, but isn't the only reason for its fiscal success.
"(This budget) is the result of both good management and good fortune," he told fellow supervisors.
"Very well said," board vice chairman Greg Sulc said.
The board will adopt the final budget at its Dec. 23 meeting.