The Petersburg Borough Assembly tonight will decide on property tax rates for the next year.
A mill rate is how many dollars a homeowner pays per thousand dollars of their assessed property value. The tax helps pay for education, public services, and bond debt that voters have already approved.
The area-wide total, which includes property outside of town like in the Papkes Landing neighborhood, would increase from 5 to 6.64 mills if assembly members approve the resolution. The total mill rate for property within the municipal service limits, Service Area One, would increase from 10.8 mills to 10.93. There’s a 10-mill cap within the town limits, but this year’s proposal exceeds that because the taxes used to pay for bond debt don’t count towards that ceiling. The increases are generally due to services becoming more expensive.
Several ordinances are up for new and continued consideration by the Assembly: Code updates for watershed management, raising the marine passenger fee by $3, electric rate increases, and the Borough’s next budget have all been passed by the Assembly once so far. And tonight, assembly members want to hear from residents in public hearings.
Three other ordinances are slated for initial consideration tonight.
The Borough and its rate study consultant, Waterworth, found the municipal sewer utility needs “greater-than-anticipated rate increases” for the next few years. The new ordinance to raise sewer rates states it is necessary to address rising costs, expenses, and future capital projects. The expected increases were initially set at 10% annually, but the sewer service rate for the next fiscal year would increase to 20%, which would impact rates projected through FY2030.
Last year, the Borough increased sewer rates by 25%, and the average household’s power bills by about $5 with the exact electric rate increase varying by customer.
Another ordinance on tonight’s agenda is not so new. The Borough’s sales tax can only apply to a single purchase of up to $1,200.The Borough wants to raise that ceiling up to $5,000. The change would increase the amount a single purchase can be taxed from $72 to $300. It hasn’t increased in over two decades. If passed by the Assembly three times, the decision would be put on the municipal ballot this fall for local voters to finally decide. The measure was previously on the 2024 ballot, but failed by five votes.
A long-anticipated ordinance to add a new chapter to Petersburg’s zoning code is on tonight’s assembly agenda. It’s to regulate wireless communication facilities and other towers. If approved three times, the facilities would be reviewed as conditional uses, requiring public notice and action by the borough’s planning commission, which drafted the ordinance. In addition to its seven-page summary provided in the agenda packet, the ordinance is 17 pages long.
The Petersburg Borough Assembly meets tonight at 6:00 in the Assembly Chambers. KFSK will broadcast that meeting live.
