City must compensate for over-budgeting; may look to increase taxes
By Kyle Carrozza, Staff Writer, The Times
COATESVILLE – In a hotly debated decision, Coatesville City Council voted 3-2 against using trust fund money to cover over-budgeted city expenses for 2013 at its meeting at City Hall on Monday night.
In December, while budgeting for this year, City Council realized that they would be over-budgeting for 2013. They thought it necessary in order to avoid cutting public works, police, and other municipal expenses. They would wait until later in the year to figure out where the money for running the city would come from.
Although it appears cut are going to be needed to close a budget gap, City Council president David Collins suggested that the city is “already cut to the bone.”
The solution proposed Monday night would have had the city borrow $1.4 million from a trust fund set up after the sale of the Coatesville’s water and wastewater system assets. The money borrowed would be used for various expenses on an as-needed basis.
Council Member Ed Simpson felt that by doing so, they were just delaying the inevitable. Instead, he wants taxes increased to deal with the deficit, as council would eventually have to raise taxes anyway.
“The reality is the cost of services goes up every year,” he said.
Simpson said that the trust fund money could then be used to invest in businesses that could make money for the city.
“We need to find ways that we can invest that money to benefit the city to make it a destination for some of the year or increase revenue or increase taxes,” he suggested.
Simpson said that Coatesville could, for example, invest in the velodrome project to generate income for the city.
Questions were raised as to the feasibility of paying back the borrowed money or if this would be the last time the city would have to borrow.
When the time came to vote, the proposition to borrow the money did not pass, with members Ingrid Jones, Simpson, and Jeff Loprinzi voting against it and Collins and City Council Vice President Joe Hamrick in favor. Arvilla Hunt and Jarrell Brazzle were absent.
In other city news, the cost of closing streets for functions is set to rise. During his City Manager’s report, Kirby Hudson said that with personnel and equipment costs, the city loses money every time they close a street, and doing so often frustrates neighbors.
Though they will continue to look at expenses and fees, council discussed charging $150 for every hour that a street is closed and possibly setting limitations onto how long it can be closed for.
Members shared the sentiment that they would like to more usage of the city’s parks, which would provide a cheaper option for residents and a more convenient option for neighbors and city personnel.
Council will look into the possibility of charging different fees for organizations and open events versus private parties held by residents.
The subject of parking on Colina Lane was also brought up on Monday night. Resident Michelle DiAugustino said that people are starting to be ticketed for parking along the street, an issue that she never had to deal with in her six years of living there.
The city does not yet own the street and therefore cannot make an official ruling as to whether or not parking is allowed, but they can still ticket if they feel ambulance or fire truck access is being impeded.
“It was never intended to have street parking. It’s supposed to be driveway,” Hudson said of the neighborhood.
However, DiAgustino said that many of the driveways are too small.
City Council will not be able to allow or prohibit parking until the streets are dedicated to the city.
They will have to tap the fund sooner or later. There has been no movement on the veledrome or selling unused properties that I can see so far this year. Only work being done is demolition on Fleetwood st. That’s not producing income. If so much money wasn’t wasted in the past they would be able to cover current bills. What happens when the trust fund is gone??