Takeaways From the October 7 Meeting….
More people need to attend and ask questions.
Many members of our community were caught off guard by the passage of the 0.5% Earned Income Tax. We will continue to be caught off guard by Board decisions if we don’t attend meetings, ask questions, and share important insights with our neighbors.
Few who spoke at the meeting were satisfied with Supervisors and Staff responses.
This was particularly obvious during a discussion regarding the sidewalk project on Waterloo Road (near Terrain - you should watch the discussion yourself (00:06:00 - 00:24:25). The property owner adjacent to the new sidewalk pointed out that the projected sidewalk will exceed the Township’s impervious surface ratio (it will add about 900sq. ft. of impervious surface), and would potentially create a hazard with regard to plowing and water pooling.
Don Curley, Township Manager, said that stormwater management isn’t a consideration with regard to sidewalks. Andy Rau, Township Solicitor, supported Curley’s analysis. The engineer (a vendor working for the township), who was given a very limited scope with regard to the project, was of the opinion that the new sidewalk will not create an adverse impact on the property.
The Supervisors voted unanimously in favor of putting the project out to bid.
Why must property owners adhere to strict impervious surface requirements when the Township does not?
The Monday, 10/7 meeting INCLUDED Budget Workshop #2. (00:47:30 - 1:16:28)
One member of the community was surprised to learn that he had just participated in Budget Workshop #2 because while the public was able to watch the Township Manager update the Supervisors, it was not invited to participate in the discussion or help shape the budget in any way. This community member commented that during the EIT meetings over the summer, Supervisors encouraged the public to "participate in the budget process.” After attending the subsequent meetings, this community member was not clear how to do that in a meaningful way.
The Township Solicitor reminded the Board that they will meet all their statutory requirements by presenting a Preliminary Budget (to be adopted by the Board in November), a twenty day public inspection period, and then approval of a Final Budget by December 31. The Township is doing all it MUST do.
Supervisors WILL have a third budget workshop at their October 21 meeting. Supervisors will see a Final Draft Budget at the first meeting in November. Once Supervisors approve the Final Draft Budget in November, they have a limited ability to change it before passing the Final Budget in December.
If the public has granular questions, please send an email to Don Curley (1:21:38 - 1:33:10).
We're not getting the whole story on the increased spending for sewer services. (00:52:29 - 00:55:30
This is the background provided by the Township Manager: The sewer fund had sizable surpluses that the Supervisors spent down in an attempt to reach a “steady state.” Township can no longer do this or will have liquidity issues. There have been 8%-15% increases in sewer rates over the last number of years, but those increases have been too modest, and now the Township needs to raise the rate 24% to match revenue to expenses. Township expenses are rigid—contract with Aqua, agreement for debt service, $325K capital payment for Valley Forge Sewer Authority (VFSA) due next year, and $6mm to VFSA for capital projects over the next five or so years. The Township Manager's opinion is that VFSA has not done appropriate capital planning, and acknowledges that he is the only one (so far) who thinks this.
Is the Township Manager building the case to support capital projects that have not been disclosed nor approved by the treatment plant partners?
What is the average annual sewer bill for Easttown residents? For reference, in Tredyffrin they have a flat rate of $250/household.
In the 2025 "placeholder budget,” Easttown's projected total expense for the sewer fund is about $4.5mm ($4.2mm in 2024). Tredyffrin has roughly 3x the number of users, and their total expense for the sewer fund (in 2024) was about $5.5mm.
Sewer numbers for Easttown Township don’t make any sense.
Supervisors are unwilling or unable to differentiate between ESSENTIAL and NON-ESSENTIAL SPENDING.
What are the top three things the Township must spend money on? The top five things? Or even the top ten? And how much do they cost? Many public comments circled back to the issue of essential vs. non-essential spending.
For example, new playground equipment that is ADA compliant (to supplement our existing playground equipment) and will allow all children to enjoy our playgrounds is a priority for the Board. Unfortunately, the way the "2025 Placeholder Budget" has been presented, all the spending is created equal. Sidewalk planning/construction is given the same priority as increased sewer payments, administrative debt service, additional playground equipment, and new vehicles for public works.
Are new sidewalks as high a priority as debt service? It is difficult to tell from public documents or discussion.
How do we know if the Supervisors are spending OUR money responsibly if we don’t know the Township’s priorities?
Reducing property taxes is a low priority (1:37:10 - 1:44:53).
Net millage will be reduced about 10% (or about $800K). Revenue from EIT is estimated to be $3.5mm. Supervisors will have an additional $2.7mm over last year to spend. Could our millage have been reduced more?
This year, our millage decrease will come after Supervisors look at the whole budget and identify/pay for the needs/expenses of the Township (without differentiating between essential and non-essential spending). The Supervisors who promised a property tax reduction are keeping their promise. How much reduction will be seen per household?
Alternatively, Supervisors could make reducing property tax a high level priority, right after essential spending, and return more money to the taxpayer.
Sadly, now that EIT has passed, millage reduction is a lower priority than non-essential spending.
The estimate for revenue generated by the EIT is very conservative.
In the "2025 Placeholder Budget," EIT revenue is estimated to be $3.5mm.
To get this number the Township Manager is using 75% of the low-end estimate provided by one of the two consulting companies, and doesn’t seem to include net profits on businesses in Easttown, which could yield another +/- $1mm.
What will the Township do with any extra money it collects?