2017 budget ‘a little gloomy’
Supervisors to determine if a tax increase is needed
AMITY >> Township supervisors have begun to determine if a tax increase is needed to balance the 2017 budget. The board held a public meeting Oct. 28 at the township building to work on the township’s 2017 budget.
At the board’s Oct. 19 meeting, Township Manager Troy Bingaman described the 2017 preliminary budget as “a little gloomy.”
He recommended that the board establish a capital reserve fund, with the possibility of using $1.5 million from the fund balance.
“We have no money [set aside] for unforeseen problems,” said Supervisor Terry L. Jones, add- ing, “We always have to find the money for unbudgeted expenses. I’m 100 percent in favor of it. The township is spending over $100,000 a year on debt service. I said it before, and I’ll say it again — some previous supervisors were proud to hold the line on taxes. We need to come up with ideas, if [there is to be] an increase [in taxes].”
The township’s tax rate has remained at 1.95 mills for the last 12 years. Properties with an assessed value of $100,000 pay an annual tax bill of $195.
The board unanimously approved last December to balance the 2016 budget of $4.183 million with $113,000 from the general fund.
Previous township manager Charles E. Lyon said then that the fund balance would be $2.4-$2.5 million — an increase of $200,000 from 2014.
The board is considering re-
ducing its recreation fee amount charged to developers from $75,000 per acre to either a flat fee or a township appraisal fee.
Recreation fees are imposed on all subdivision and land development projects.
Attorney Matthew Doll, Boyd & Karver, Boyertown, representing Barry Shirey, owner of 75.68 acres at 6359 Boyertown Pike, Douglassville, and site of a future turkey farm operation, said Shirey paid $10,000 per acre.
Based on the current recreation fee amount, Shirey is required to pay $66,000.
“My client is putting up turkey houses,” said Doll. “There will be two people [ living] on the property. The fee is not rationally and reasonably related to the use. That is more than he paid per acre.” Doll and Engineer Brian Boyer said Shirey’s fee should be $9,325, based on his cost of $10,000 per acre.
Township Solicitor Brian F. Boland said Shirey agreed to comply with all township ordinances and zoning laws when the board conditionally approved the turkey farm operation in August.
“That is incorrect,“said Doll. “Did not consider the imposition of the recreation fee on the agricultural use by my client. Two people and turkeys does not equate to rational and reasonable.”
The board increased the recreation fee amount from $45,000 to $75,000 in October 2008 following board study and market appraisals.
“I feel I should pay a recreation fee in lieu of open space,” said Bryan Hunsberger, of Telvil Corp., Harleysville, Montgomery County, developer of the future Arbour Green, Old Swede and Pine Forge roads.
Arbour Green will be an age targeted development of 72 twin homes.
“A lot of land isn’t worth $75,000 per acre,” said Hunsberger, adding, “my property was appraised this year at $41,189 per acre. It’s not fair to use a flat rate of $75,000 per acre.”
Jones said $75,000 is a ridiculous fee.
“That was when the market was at its best. It now needs to reflect true numbers based on appraisals. It is silly to charge a recre- ation fee to an agricultural business.”
Board Vice Chairman Paul R. Weller said the issue would be discussed in the future with the full board.
Board Chairperson Kimberly J. McGrath and Supervisor Richard L. Gokey were absent from the meeting.
“We’re trying to get economic growth, and to do that we have to be receptive to the current conditions,” said Weller.