Proposed budget includes 11 percent tax hike

Montgomery County property owners could be facing an 11-percent property tax hike, as outlined on the county’s proposed budget for 2017.

The $409.5 million budget also dedicates a portion of that tax to funding Montgomery County Community College at a rate of about $22.3 million for 2017, an increase of more than $4 million above prior funding levels for the institution.

“We looked at all the things that the community college does for our county. There are substantial economic benefits that the college affords the county. There are a number of community benefits and as a matter of fact we’re having a really great conversation with them about additional things they can do to benefit the county,” Commissioners’ Chairwoman Val Arkoosh said, adding that the school has committed to a tuition freeze for an undetermined amount of time.

The additional funds for the school, combined with an approximately $3 million being used for raises for non-union employees, a $6 million contribution to the fund balance, increased debt service payments and a several million dollar loss in state revenue accounts for the increase, according to Chief Financial Officer Dean Dortone.

The $18 million that went to funding the community college in the operating budget will cover those new expenditures, while the proposed 0.39 in new millage falls under a separate category on the tax bill, legally dedicated to community college funding.

“These are very difficult decisions to make, but enacting this millage and dedicating it to the college will free up dollars that were in our operating budget that we can use to address some of these other very serious concerns,” Arkoosh said.

The proposed increase comes just one year after a nearly 10 percent hike on taxes in the 2016 county budget. For a Montgomery County home assessed at the average rate of $169,000 the 2017 proposed budget would include a $66 per year increase, tacked on as a separate category to the $584 tax bill that homeowner currently receives.

Commissioner Joe Gale expressed his concern and asked the public to speak out on the increase.

“We have to do a better job of being fiscally responsible and prioritizing spending. What I don’t find responsible is an endless cycle of tax and spend when it comes to our budget,” Gale said.

The commissioners voted unanimously to post the proposed budget for review. The documents can be viewed on the county’s website at montcopa. org/93/finance under “2017 Budgets.” There will be two public hearings on the proposed budget. The first is Dec. 1 at 11:30 a.m. following the commissioners’ meetings and the second is the same day at 4 p.m. Both will be held at One Montgomery Plaza in Norristown.

“I would like to inform the public and encourage them to look at the county website, to look at the plan we have put forward here and provide input,” Gale said.