In an effort to spread the cost of covering a projected budget deficit and the cost of mandated sewer repairs, Emsworth residents urged officials Wednesday to increase a tax levied on people who work in the borough.

Facing an increase in sewage fees next year, residents who attended the Oct. 14 council meeting called for an increase in a $26 Local Services Tax (LST) approved by council at a special meeting on Sept. 23.

Officials originally rejected the option of charging the full $52 LST authorized by state law, opting instead for a $26 tax that would take the place of the $10 occupational privilege tax levied on
people employed by Emsworth businesses.
Residents who filled the council chambers Wednesday evening wanted to see the $52 tax.

"Get on board and charge the $52," resident Kevin Yurkovich said.

Resident Mike Adams said that many of the workers within the borough who do not live in Emsworth, use municipal services but are not taxed for it.

Council members David Heflin and Amy Adams were the sole proponents of a $52 tax during the prior meeting. Council member Ed Politylo observed that the public protest of the tax was one-sided, and may have been an organized effort.

"Is there anyone out there on this side of the bridge?" asked Politylo, who previously voted against the $52 tax.

Council voted unanimously to levy the LST at the $52 rate, which, Heflin said, will generate about $15,000 in revenue.

The borough will need to come up with much more than that to make up the 2010 budget deficit currently projected by Heflin at about $170,000.

Emsworth currently levies a $50 flat fee quarterly, with additional charges for those who use more than 10,000 gallons of water. Proceeds of the fee cover the ALCOSAN sewage charges for all properties in the borough, with the remainder going toward sewer related expenses, included repairs mandated by a federal administrative consent order.

The amount that has been directed toward repairs has been dwindling over the last five years, Heflin said, as ALCOSAN has raised its rates but the borough fee has not changed.

Heflin said that sewer-related expenses, including actual sewage treatment costs, are projected to average nearly $600,000 per year during each of the next five years. The borough currently brings in about $300,000 in sewer fees, which barely covers the cost of the sewage treatment, let alone repairs.

The borough engineer presented council with three options for replacing the flat fee with one based completely on water usage. Under any of the options, people who use less than 2,000 gallons of water each quarter -- approximately 12 percent of the borough’s property owners -- would see a decrease in their rates. Depending on the option, the decrease ranges from 12.4 percent to 62.6 percent.

Most property owners, however, would see a substantial increase in quarterly fees, ranging between $100 and $3,400 per quarter.

Heflin opposed elimination of the $50 flat fee, and asked that the engineer come up with a fourth option that would eliminate rate decreases for anyone. That option is expected to increase the fees charged per additional 1,000 gallons of water used during a quarter.

The new fee structure also is expected to differentiate between sewage and repair costs so that ALCOSAN rate increases can be passed on to property owners.

Emsworth Council will hold a special meeting on Oct. 28 at 6:30 p.m. to review and discuss the sewer fee options.