When: Columbia Borough Council meeting, Nov. 7.
What happened: Council members agreed to raise property taxes by 1 mill in 2025 to help counter a proposed $1.5-million to $1.7-million budget deficit on an $8.81-million spending plan for the borough's general fund. The borough, which lacks a finance manager, does not yet have exact figures for a total budget of all its funds, Heather Zink, council president, said in a Nov. 8 phone call. n More: Council also scheduled an additional public meeting Nov. 20 to hear comments.
Caveat: Zink quoted the higher deficit figure during the meeting but said in the Nov. 8 phone call that the amount is closer to $1.5 million. The general fund has reserves to pay for the deficit, but doing so would deplete those funds, she added. She did not have a figure of how much money the borough has in the reserve fund.
Quotables: "For five years we've worked on cutting and cutting and cutting," Zink said during the meeting, referring to the budget. "Now we are bare bones." Said Eric Kauffman, vice chair, "We need to rip the Band-Aid off, and just do it (raise taxes)."
Extra meeting: Council members want to pass the budget at their Nov. 26 meeting and must advertise it at least 10 days before that, Zink said. Agreeing on a spending plan Nov. 20 would satisfy that requirement. A final budget must be passed by Dec. 31.
Numbers: The borough last raised property taxes in 2018, from 6.6 mills to 8 mills. One mill would raise $438,000 in revenue. An owner whose property is valued at $100,000 would pay $900 per year, up from $800 per year, Zink said Nov. 8. Council members briefly discussed raising property taxes by more than 1 mill but abandoned the idea.
More: Council still will ask department managers and police Chief Jack Brommer to study their budgets to see if any cuts can be made.
Why the shortfall: The borough expects to raise revenue through property taxes after it sells the former McGinness Airport project, now slated to become a technological park, Zink said. That money will go into the general fund. Delays in permits, however, mean Columbia must wait at least 18 months for these documents before the borough can install infrastructure necessary to sell parcels.
More: Columbia took $1.5 million from its capital fund in 2021 to purchase McGinness, and revenue from land sales will go back into that fund, Zink said Nov. 8, giving the borough money for capital repairs at Columbia Crossing River Trails Center and other areas.
Insurance & other costs: Prices have risen, Zink told council members. For instance, the borough's medical insurance premiums will increase by 19.6% in 2025, she said.
Background: Council members adopted a $17.17-million total budget for all its funds in 2024, up from $16.73 million for 2023.
What's next: Council will meet at 7 p.m. Nov. 12 and at 6 p.m. Nov. 20 at 308 Locust St. The meetings also will be available on the borough's YouTube channel the next day.
Go to: youtube.com/@columbiaborough9899 to access the meeting.
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