Local News

Assembly passes budget, tax rate in first reading

The Petersburg Assembly approved next year’s borough budget and the millage, or property tax, rate in the first of three readings Monday.

The overall millage rate will actually go up slightly because this is the first year of debt repayment for the town’s new library. However, Finance Director Jody Tow told the assembly the base millage rate, which does not include debt payment, actually dropped a little.

“The base mill rate went down because the total assessed value increased about 11 million dollars. So, at third and final reading once the appeals have been settled, that mill rate might change a little, go a little higher as appeals are settled and perhaps assessed value will lower slightly,” Tow said.

For now, the council approved an eleven mill property tax. It works out to eleven-hundred dollars in tax for every hundred-thousand dollars of assessed value. That’s just one dollar more than this year.

The plan includes a balanced general fund for third year in a row. Unlike utilities, the general fund is mainly supported by property and sales taxes. It covers borough departments that can’t pay for themselves like emergency services, the library, the schools, parks and recreation, public works and more. General fund revenues and expenditures total just under nine-point-4 million dollars. That’s up a little over three percent from this year. There are no major changes to staffing or services.

The assembly voted unanimously in favor of the spending proposal. It will come up for a second reading and public hearing on the 20th.

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