Wednesday, November 28, 2007

Budget blues

For weeks leading up to the November election, we were bombarded by a Republican ad campaign responding to a challenge from Democrats for three seats on County Council that warned of higher taxes if the Democrats were successful.

They characterized the Dems as big spenders who would run up county services, with the result being a need to increase taxes. They even closed out the ads with a tax collector knocking on residents’ doors, with the Dems saying they were bringing him along to save some time.

The image was pretty clear. Democrats equal more programs, more spending and thus higher taxes.

It turns out the GOP was right. At least about taxes going up.
This week the county rolled out its preliminary budget. And, indeed, taxes are going up.

The county is proposing to spend $11.6 million more in 2008 than it did in 2007. That’s a hike of 3.8 percent over 2007’s $304.8 million fiscal blueprint.

The result means the millage rate will go from 4.45 to 4.827. For the average resident with a home assessed at the average of $131,000, it will mean forking over another $49.

Of course, this is all preliminary. The current County Council has hailed itself for its ability to hold the line on taxes. These numbers likely will be whittled down before the actual budget is adopted in a couple of weeks.

But if they can’t eliminate all the increases, it will mark the county’s first tax hike in four years, and only the fourth in 11 years.

County leaders are already saying these hikes are not the result of extravagant county spending, but from cuts in state funding, specifically at the county nursing home, Fair Acres Geriatric Center; deficits in juvenile foster-care placements because of a change in the funding formula; and continuing red-ink flowing out of the county courts.

Council Chairman Andy Reilly even stated the county may consider suing the state, which he claims continues to be out of compliance with a state law that mandates it cover 100 percent of county court costs. Reilly said in reality the county is only getting a 40 percent reimbursement, which will cost Delco taxpayers $30 million this year.

None of this is going to make the numbers, as they stand now, any more palatable for home owners already under siege from rising property taxes and skyrocketing fuel and heating costs.

The current all-Republican County Council has its work cut out. It must look to slice and dice, where it can, spending in an attempt to ease the burden on taxpayers.

You can’t say you didn’t see it coming. After all, they warned us of a tax hike.
It’s just that with the funding shortfalls from the state that are in place, it doesn’t really make much difference who got elected.

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