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Eldred taxes to increase slightly in 2020

Published December 30. 2019 12:32PM

Eldred Township taxes will increase slightly in 2020 due to the reassessment of property values in 2019. The supervisors met Friday morning for a special meeting to approve the budget.

Michael Gaul, the solicitor for the township, explained that Eldred, like most municipalities, limits tax increases to 110% of the previous year’s tax revenue following a reassessment.

“This gives a 10% cushion,” he said, because of appeals of property assessments. “There are a lot of pending appeals in Monroe County.”

Before the reassessment of property values, the rate for Eldred Township was 9.5 mills, which was 95 cents for every $100 of property value. Following the assessment, a rate of 1.26 mills in Eldred Township for 2020 would be equivalent to the mill rate for 2019. The township set the mill rate at 1.38 mills to create a cushion in case of appeals with the county.

Gaul said that the municipality is only allowed to go up 110% in the first year following a reassessment, because the appeals should all be resolved in that first year.

A resident asked the supervisors and the solicitor what the township will do if the new mill rate brings in an excess of tax revenue.

Supervisors’ Chairwoman Mary Ann Clausen said, “It will reduce future tax increases, if it is more than is needed.”

Gaul added that the law allows the municipality to hold an excess of revenue, called cumulative revenue, up to 25%.

That same resident asked when the residents would find out about their school taxes. Township secretary Ann Velopolcek said the school district would send out notifications in June, because that is when their fiscal year ends. The school district also sets the Library Tax Rate after a countywide reassessment.

In other business

• The supervisors approved entering into a lease to purchase agreement with TransEdge Truck Center in Allentown to get a 2020 tandem axle Mack dump truck. Supervisor Gary Hoffman said the truck will be able to carry much heavier loads than the old truck it is replacing. This will cut down the number of trips the truck has to make and reduce the number of trucks the township needs.

The cost of the truck is $203,511.30, and will be paid in yearly payments of $35,070 for five years. The first payment will be due one year from the date the agreement is signed. This would place the first payment in December 2020 or January 2021.

It is being financed through Municipal Finance Inc. at an interest rate of 3.39%.

• The supervisors approved hiring Ed Tanczos to assist with snowplowing, as needed. He will be paid $19.34 per hour when he is called to assist.

• Supervisors approved hiring Vickie Falinger to fill in for the cleaning woman who is out for medical reasons. Falinger will be paid $15 per hour for four hours of work each week.

• The supervisors approved of the fire company’s nomination for fire chief. The Kunkletown Volunteer Fire Company nominated Brian Stankovich. Ray Miller will continue as the president of the fire company.

• And a new ordinance will be prepared to officially vacate the section of Old Stone Bridge Road (Township Road T-391) from the Stone Bridge north to Kunkletown Road. The section of roadway is no longer used.

If the ordinance passes, the roadway would no longer be a public road and would revert to township ownership. Once the ordinance is ready, a public hearing will be held for comment.

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