Charleroi Borough Council made some tough — and unpopular — decisions during a special budget meeting Tuesday.

Council adopted a spending plan for 2023 that will raise taxes, but not by as much as originally proposed during a business meeting earlier this month. Council also rejected a $2 million offer from the Authority of the Borough of Charleroi to purchase the borough-owned sewer lines, a move that some feel could have helped council avoid a tax increase and stabilize borough finances.

Neither motion passed unanimously and both brought disgruntled responses from members of the standing-room-only audience, which comprised nearly 60 residents, taxpayers, business owners, ABC representatives and leaders from neighboring communities.

Some residents, including former councilwoman Jeannine Motycki and Tracey Kash, made their voices heard on both decisions outside the borough building before Tuesday’s meeting started.

One sign opposed the tax increase

CHARLEROI • A2 FROM A1 and the other was against selling the water authority — two matters that Motycki and Kash said are important to residents and taxpayers.

“The public needs to know the truth,” they said in a statement. “We had people pull over and ask what it was all about, we told them and when they asked what they could do, we said come to the meeting and they did. It started with two of us and then there were three and then the corner was filled with supporters and people were honking and yelling ‘thank you’ from their cars.

“ABC employees were thanking us for supporting them and citizens were thanking us for fighting against a 6 mill tax increase. We’re just doing what is right.”

JD and Karen Davenport, business owners and residents, were among the many in attendance Tuesday because of concerns about the budget.

“We own several properties and businesses here in this town and this seems like a disaster,” JD Davenport said. “A total disaster. I don’t know how we will be able to survive in this town if you pass this.

“Maybe you don’t want businesses in Charleroi, I don’t know.”

Council decided on Dec. 14 to table the 2023 budget, which originally proposed raising taxes from 6.85 to 12.85 mills.

A tax hike that large was unpopular among nearly all of council after listening to concerns from residents. Leaders agreed to go back to work over the holiday to bring better numbers to the table for Tuesday’s meeting. Borough Manager Matt Staniszewski said he did just that with little input from council. He presented three options that left council with a tough decision on its hands. Staniszewski’s first suggestion, referred to as the “Geo” plan, didn’t call for a tax increase and would have kept millage at 6.85.

Staniszewski explained this would not be in the best interest of taxpayers and listed three pros and a lengthy list of cons for that option.

One of the only positive takeaways was no tax increase and council members “feeling good about themselves for one or two days.” That option would have left little wiggle room for the borough and a lot of cuts, including the Community Day fireworks display, the library, police, fire service, community projects, public works, playground equipment maintenance, security cameras and maintenance.

The second option, referred to as the “F-150” plan, proposed a 3-mill tax increase, half of the original proposal. Under the F-150 plan, council would position itself to be in a better financial situation in 2023, create less of a burden on taxpayers and retain most borough services without impact, Staniszewski said.

It would allow council to slowly replenish reserves and while a “minimal attempt” could help the borough catch up in 2023 and beyond, another tax increase would likely be necessary in 2024 as well, Staniszewski added. “It’s a compromise that meets everyone halfway,” he said. “This will start to stabilize our finances, but it will not be perfect.”

The final option, referred to as the “Navigator” plan, is the same proposal that sat in front of council for three months — requiring a 6-mill tax increase — and was tabled for revision at the last meeting.

Staniszewski previously said approving that plan, which would bring taxes to 12.85 mills, would set the borough up financially for years to come and ensure that 2023 ended in the black, unlike the nearly $500,000 deficit that Charleroi faces this year.

One mill generates $121,046 for the borough.

“Whatever you choose,” he told council, “I will make it work.”

President Paul Pivovarnik said the second option seems to be the most manageable. “I think 3 mills is less of a burden than 6 mills,” he said. “It’s a minimal tax hike considering the situation we are in, and I think it is more bearable.”

Pivovarnik also pointed out that if the borough continues to negotiate with ABC, then pursuant to borough code, the budget could be reopened and adjusted in the new year. Residents from the audience spoke up, encouraging council to vote Geo.

“Either way, you have to do something,” Staniszewski replied. “And going with the Geo plan is a disservice to taxpayers.”

Councilman Randy DiPiazza said while no one wants to raise taxes, no one wants to see cuts to crucial borough services either.

“That would make cuts to the police department, fire department, the library, no one wants that,” DiPiazza said. “This can be reopened depending on what happens between the water authority and council.”

Before a roll call vote to pass the budget and raise taxes by 3 mills was taken, Councilman Larry Celaschi said he wants to be clear on where he stands.

“Before I vote I want to reinforce something I have been saying all along when I tried to reopen the budget back in January of this year and got shot down,” Celaschi said. “Who put this council in debt? It’s in black and white who did and the 2022 audit that will be delivered by the early fourth quarter of 2023 will finalize all of that. “This council already received, in person, a preliminary report from borough auditor Mark Turnley. You think that is going to change? I don’t. That’s why anyone from the previous council of 2021 who voted yes to pass a 2022 budget that was a deficit spending budget will be subject to a surcharge with the value amount of that debt. I know there is a majority of council here that will see to that.”

Celaschi, DiPiazza, Pivovarnik, Joe Smith and Jerry Jericho voted yes to the “F-150” plan that will bring taxes to 9.85 mills.

Councilwoman Nancy Ellis and Frank Paterra both voted no, which drew applause from the crowd.

After the spending plan was approved, Pivovarnik said he has decided to resign from his position as president as of Jan. 1, citing several accusations made against him regarding decision making and his leadership.

“At this time, since I have been accused many of times now of passing a budget (that was deficit spending), and times deemed unfit to be in charge as of the end of the year, I am resigning as president,” Pivovarnik said. “Come January a new president will be elected.”

Pivovarnik said he feels like he has lost the trust of the people.

“I have worked all of my life to help better Charleroi and I feel like I have let them down,” Pivovarnik said. “As far as my leadership goes, it was not going anywhere. There is no reason to try to continue to lead this council while I am being accused of doing things against this borough. If I have lost the trust of leading them, it is time to turn it over to someone else.” Ellis, Jericho and Pivovarnik were the only council members to vote to accept the offer from the water authority, which could have helped to repair the borough’s financial status heading into 2023. DiPiazza, Celaschi, Smith and Paterra voted to reject the offer, though some council members expressed interest in furthering negotiations with the authority to possibly strike a deal.