Tuesday, November 25, 2025

The root cause of Columbia Borough's budget crisis: Overspending?

Borough officials ponder the numbers at Thursday's budget meeting. (L-R: Finance Manager Brian Christensen, Assistant Borough Manager Ron Youtz, Interim Borough Manager Jack Brommer.)

JOE LINTNER | COLUMBIA SPY 
As things currently stand, Columbia Borough Council will need to cover a projected $1.1 million budget shortfall, either by raising taxes or using reserves—or a combination of both. 

At the November 20, 2025 budget workshop meeting, council more or less agreed not to raise taxes this year (for 2026), since it had done so in 2024, but using reserves alone will leave little or no financial cushion in case of emergencies or other unexpected costs throughout the year.

At the meeting, attendee John Evans questioned how things got to this point. “Obviously at some point this became evident that you're going to have a shortfall,” he said. “It just didn't happen overnight. There's things called audits, but there's other things that were signs." 

"There's a root cause somewhere," Evans continued. "I don't know what it is. Somewhere there's a root cause, and this has happened. Do we know what it is, and was it addressed? You keep talking about this million dollars. How did this all happen? Is it one department? Was it a misstep? Was it an audit? What happened? What caused this to happen?”

Heather Zink, council president, replied: “I think the root cause is that our cost to provide the services has gone up exponentially, and we are limited in the way that we can generate revenue.”

Although those are contributing factors, they’re not the root cause of the problem. According to previous borough officials and others, the root cause is overspending—on staff and capital projects.


Meiskey: "You need to pull the reins in." 
[Photo: 6/11/18 meeting]

● For example, at the June 11, 2018 Columbia Borough Council meeting, former borough manager Norm Meiskey told council, “It's important that you differentiate between 'nice to have' and 'must have.' It's taxpayers' dollars. You need to pull the reins in.”

Denlinger (foreground): “You're spending more than you bring in..." [File photo]

● At the November 1, 2018 council meeting, Rebecca Denlinger, then the borough manager, warned then-Council President Kelly Murphy: “You're spending more than you bring in, and personnel is our largest cost, and so you have to be smart about the decisions you're making. Was part of the plan to say, okay, when we run out of fund balance, we're just going to hike taxes a whole bunch?”


Meiskey: "You don't have a revenue problem—you have a spending problem, and you need to fix it and not put on the taxpayers to allow the erosion of their standard of living because you can't fix the problem." [Photo: 12/13/18 meeting]

● At the December 13, 2018 budget meeting, Meiskey cited an increase in the number of borough employees as another factor behind the 2018 tax hike: "We've hired people, and we've hired them to a point where you're looking at tax increases. That's not helping this borough whatsoever. It's certainly not going to help the taxpayers. You'll be taxing senior citizens out of their homes. It's a very serious matter."

"I don't know why council is so hell-bent on eroding the standard of living in Columbia Borough,” Meiskey said. "You need to fix the problem. You have a spending problem. You need to realize it."

Meiskey continued: "Ladies and gentlemen, you don't have a revenue problem—you have a spending problem, and you need to fix it and not put on the taxpayers to allow the erosion of their standard of living because you can't fix the problem. You need to fix the problem. You have a spending problem. You need to realize it."

● At the January 14, 2020, Columbia Borough Council meeting, Meiskey said, "It's incumbent upon the borough manager to take direction from council, and you could have easily directed that to the borough manager and have a budget plan prepared. In this case, with $870,000 involved, that plan would have had a number of action items, not the least of which is certainly a restructuring. Position changes, attrition plan—it would have encompassed all that. But again, that didn't happen."

Meiskey also said: "I cannot possibly work with a council that leaves an atrocious budget plan—particularly the general fund with $870,000 in planned overspending of revenues and onerous taxation of property owners—in place for 2020, Immediate corrective action was required, but the can was kicked down the road." He noted that council had overspent by almost half a million dollars in 2017, and over $2 million in 2018.

Stivers: "We've been borrowing money to pay the bond." [File photo]

● Former Borough Manager Mark Stivers said at a 2022 council meeting, "We've been borrowing money to pay the bond" and described it as an "albatross." Stivers asked council to consider a "16-year plan" to pay off the debt. As an option, Zink suggested a special tax levy, which could entail raising taxes 1.5 mills to make annual payments of $691,000 for 16 years. ($691,000 multiplied by 16 equals $11,056,000.) Bizarrely, Stivers said council has been "blessed" with the opportunity to solve this problem.

● Mike Reiner, CPA with Sager, Swisher & Co., presented an audit report to council at its June 7, 2022 meeting. According to LNP: Columbia Borough Council publicly received the results of its 2021 audit with a warning. Reiner noted the municipality consistently is reducing its cash position by spending down its capital fund.

In 2022, council had to resort to borrowing $1.358 million from reserves to balance the budget and avoid a tax hike. At that time, there was about $2 million in reserves.

The borough’s cash assets were $2.9 million at the end of 2021, down $1.8 million since 2020. This result continues a four-year trend of declining cash balances, Reiner said. “That is concerning,” Reiner told council members. The borough’s capital fund pays for projects that could include buildings and roads. A separate general fund pays for running the municipality."

Currently, other expenses include about $150,000 a year to operate the Market House and $75,000 a year for Columbia Crossing, which currently needs $400,000 in repairs. (Columbia Borough taxpayers pay for all maintenance at the Crossing building, and all rental proceeds go to Susquehanna Heritage.)

There are other issues: a hoped-for sale of the borough’s wastewater treatment plant and borough sheds, as well as the former firehouse on Front Street. The plant and the firehouse properties are currently being leased out, and the sheds are still being used by the borough. The borough hopes the sale of these properties will help pay for the move of the highway department to the former Columbia Reduction Company at Ridge Avenue and 11th Street. The borough wants to move the highway department there at a cost of $1.35 million for the building plus an additional $2-3 million for cleanup and renovation of the property. The sewer plant and firehouse were expected to be sold by September of 2023 but so far haven't moved.
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NOTE: The borough’s livestream failed for the November 20, 2025 budget meeting (and the November 18 Planning Commission meeting). There was no audio, and the above image appeared on the screen. Columbia Spy audio-recorded the budget meeting. 




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