Zelienople budget holds line on taxes
ZELIENOPLE — The borough’s proposed 2015 budget will keep property taxes the same, though water and electric rates will increase.
Zelienople’s total budget, including the general, fire, library, water, electric and highway funds, is $10.23 million.
The borough’s proposed tax rates are 1.81 mills for general purpose, 3 mills for fire protection and 0.5 mill for the library.
A mill is equal to $1 in tax revenue for each $1,000 of a property’s assessed value. In 2015 one mill will bring in $28,909 for the borough.
Electric rates are set to increase by 7.7 percent and the water rate is set to increase by 4 percent.
The borough buys water from the Beaver Falls authority and buys electricity through American Municipal Power, a nonprofit wholesaler based in Columbus, Ohio, said borough manager Don Pepe.
The borough electric department’s profit from selling power to residents goes into the general fund, so in the past the borough has partially absorbed rate increases. However, this year the entire rate increase will be passed along to the customers, while property taxes are kept flat, Pepe said.
The borough’s staff and elected officials had requested numerous purchases, of which about $500,000 had to be cut or deferred.
“It was a bit of a chore this year to handle requests for expenses,” Pepe said.
But one item in the budget is a new leaf collecting machine that will cost $50,000. It will replace the borough’s current one, which is in disrepair.
Council had considered doing away with the leaf collection service in favor of having residents bag their own leaves to be collected. But that proposal received largely negative feedback from residents, and so council opted to replace the machine, Pepe said.
The borough also will spend about $200,000 to relocate power and water lines to help the state with its replacement of the Route 68 bridge over Glade Run.
The borough has a reserve fund of about $600,000. Though it typically budgets $150,000 to be transferred to the reserve each year, it plans to skip that in 2015 and resume it in 2016, Pepe said.
Also planned for next year is the Main Street revitalization project for which the borough has received or anticipates receiving state grants.
This project is not reflected in the general fund budget. The borough so far has spent $250,000 from its electric fund to pay for plans and grant applications.
Council plans to adopt the budget at 7:30 a.m. Dec. 15 in the borough building.
