Emsworth will create the borough's first capital fund after Mayor Dee Quinn broke a tie vote at the Feb. 10 council meeting.
Council member Paul Getz said that Emsworth has never had such a fund, and recommended that funds currently in certificates of deposits and money market accounts, totaling around $218,000, be designated for a capital projects fund. The fund would help pay for possible future expenses related to the construction, replacement or repair of any borough property, he said.
Council member Amy Adams questioned why the borough should tie up available monies.
"To me, that does not make financial sense," Adams said.
Council president Maria West said that the creation of the fund was suggested by the auditor, because the borough currently had too much money in the general fund.
Adams asked why the sewer surcharge was increased in January if there was too much money in the general fund. Getz replied that the rate changes were approved in an effort to make the borough's sewer system self-funding.
West said that the money in the general fund was going to be used to cover the borough's operating costs until it begins receiving new tax revenues, rather than Emsworth taking out a tax anticipation loan.
Council members Adams, Ken Kroen and Dan Lenz voted against creating the fund, while West, Getz and member Connie Taylor voted in favor.