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Wednesday, September 01, 2010

Cunningham Proposes 16.1% Tax Hike, Calls For Reassessment

Sunday, I told you that Don Cunningham's proposed tax hike would be at least 15%. It's 16.1%. You can review all the details on the County web page.

Elected officials who propose or enact a tax hike are looking for trouble at the polls. If there's one thing worse than that, it's calling for a re-assessment. Amazingly, Don Cunningham has done both. Even Northampton County Exec John Stoffa, who has pointed to the inherent unfairness of our real estate assessments, has shied away from taking that plunge.

But Cunningham is right. Both Counties have gone too long without re-assessment. It often works to the advantage of wealthier landowners, but is politically unpopular because most people think it will hurt them. Yet it's the best way to ensure all properties are taxed fairly.

The tax hike is no surprise. In fact, right after the last budget was adopted, Commission Chair Dean Browning stated an increase was inevitable. "That train has left the station," were his exact words.

The total budget? $390.8 million, which is $22 million less than last year. 49 fewer jobs. 10 jobs will remain unfilled. Program cuts. $17 million less for capital projects.

It looks like the work of a Republican!

You can read the details, as explained by Cunningham himself, here.

Commissioner Chairman Dean Browning said the legislative branch looks forward to beginning a review of the budget. “The Lehigh County Board of Commissioners will be responsible for conducting an in-depth review with the objective of identifying further budget reductions on behalf of the taxpayers,” Browning said. “We look forward to healthy discussions during several planned budget hearings that will begin on September 15th and will ultimately conclude with a final budget vote on October 27th.

I will have more to say after I look at the details. He does propose 2% increases for non-union workers.

17 comments:

Anonymous said...

Why did he not mention this at his address to the Chamber folks last week ? Is this honest communication or gobbledy gook rhetoric about returning to some previous taxing level ? Come on Don you can do better than this....

Anonymous said...

What can he do? You can only slash so many jobs. County government is a service government and that is labor intensive. In areas like Human Services you need people not only to provide service but to make sure the things being done are cost effective. You can't cut too deeply or you end up coting the county more in the long run.

Other than pulling back a few more grants, there is really not a Hell of a lot to cut anymore. The tax is just the unfortunate result of a terrible economy and flat RE tax revenues while the cost of doing business continues to rise.

Overall, I think it is a fair proposal and if Northampton County where being honest they would be proposing the same.

Anonymous said...

Our State Legislatures really handed us a good one with common level ratio determinations. Now Commercial businesses armed with a team of lawyers can strong arm municipalities and school districts to appeal their assessments. This shifts the cost burden on the backs of the homeowner. There is something wrong when a box store can successfully appeal its assessment after being open for less than one year. The average homeowner would not appeal the assessment on their home because the cost of an attorney far outweighs the benefits. A Statewide reassessment is probably the only way we ensure that everybody pays their fair share.

Anonymous said...

the reassessment is supported by the realtors association. Our system in PA sucks. We have to depend on political will to do what's right. Thats always a losing proposition.

Thank god he was willing to take it on the chin and propose it. Only a second term politician can do that. I think it's been something like thirty years since Lehigh COunty has reassessed.

Anonymous said...

He's simply the most horrible public servant in the Lehigh Valley.

Bernie, what are the basics of LC's recall procedure? There's no way this clown survives a recall vote.

Bernie O'Hare said...

"Why did he not mention this at his address to the Chamber folks last week ?"

He did.

Bernie O'Hare said...

"Overall, I think it is a fair proposal and if Northampton County where being honest they would be proposing the same."

Agreed. i suspect you will see it soon.

Bernie O'Hare said...

"There's no way this clown survives a recall vote."

The recall provisions in HRC governments are unconstitutional.

Anonymous said...

How about no increases, more reductions, paying private sector percentages for healthcare and someone at the state and national level addressing the pension issues?

Nah, just raise taxes and reassess. They deserve it. After all, they are your betters. Just ask them. The budget can't be balanced on their backs, but it most certainly can be balanced on yours.

Bernie O'Hare said...

"I think it's been something like thirty years since Lehigh COunty has reassessed."

More like 20, but I get your point.

Anonymous said...

Anon 6:54 AM: "The average homeowner would not appeal the assessment on their home because the cost of an attorney far outweighs the benefits."

You don't need a lawyer to appeal an assessment. As complex as it seems, the formula to determine if you're overassessed is pretty simple. The only thing they might have to pay for is an appraisal to determine the property's current value.

Shame on homeowners who leave it up to county beauracrats to determines their property's value. And, shame on the County for not doing more to educate property owners about their rights to appeal.

Countywide reassessment is the right thing to do. Ask any elected official behind closed doors and they'll agree. It's about tax fairness. Period.

The problem is the politics around it. Now, Cunningham looks like he's only doing a reassessment to get more tax money in his coffers (even though that can't legally happen). But the perception becomes the reality and he'll suffer because of it. Not that thats a bad thing.

Anonymous said...

Don failed to make difficult choices because he thought it would hurt his re-election chances. As it turns out, he nearly lost his job anyway because voters knew he was hiding a stunning degree of mismanagement of the county's fiscal affairs. He was busy spending and smoothing his path to higher office. Remember all that next governor talk? Now, the election is past and the truth is revealed about the worst politician in the Lehigh Valley. Good luck with that next governor thing. I doubt his own family would vote for him now.

Anonymous said...

Don is doing a great job. He is playing the hand dealt to him. What logical alternative do you have to offer that is legal. You do realize much of what the county pays for is mandated by State and Federal laws. As to the private sector, they have a great deal more flexibility. Of course I am amazed that after you have been bent over a chair and ramed by your private bosses for years and then told to smile and thank them, you still claim how wonderful it is out there. Look I'm in the private sector and I am glad I'm working but lets be honest, I'm a number, a statistic and I could be gone tomorrow. It's the system we have but it sure is hell not the panacea you paint it to be. The only people who love their jobs are the Chamber of Commerce folks, they get paid to go to dinner and eat. Not bad!

Instead of pissing on someones leg why not enlighten us with your knowledge.

Anonymous said...

I agree that this was unavoidable. Northampton county needs to consider the same rather than making extreme decisions like closing gracedale and the like..Even if they close it they'll still have to raise revenues..They should have done it last year as Stoffa suggested but decided against a modest increase..Now they have a mess..You can only cut so much..Are you going to ask employees, many who are county taxpayers to take hundreds in cuts to save the other taxpayers a dollar or two a week..That is complete crap. I have never been a huge cunningham fan but he did a great job here..He is spreading the pain around but making sure government is still on sound footing..Should he have raised them modestly last year and avoided this..Yes...But so should have Northampton county..Again, if memory serves me right Peg and john suggested a modest increase which was rejected..They better wise up this year..

Anonymous said...

I agree that this was unavoidable. Northampton county needs to consider the same rather than making extreme decisions like closing gracedale and the like..Even if they close it they'll still have to raise revenues..They should have done it last year as Stoffa suggested but decided against a modest increase..Now they have a mess..You can only cut so much..Are you going to ask employees, many who are county taxpayers to take hundreds in cuts to save the other taxpayers a dollar or two a week..That is complete crap. I have never been a huge cunningham fan but he did a great job here..He is spreading the pain around but making sure government is still on sound footing..Should he have raised them modestly last year and avoided this..Yes...But so should have Northampton county..Again, if memory serves me right Peg and john suggested a modest increase which was rejected..They better wise up this year..

Anonymous said...

By hundreds in cuts, by the way, that would be hundreds a month in benefit and salary cuts if wages are frozen or cut and benefits costs are increased..Angle has proposed that of course..

Anonymous said...

When you hire and spend and hire and spend in order to further your political career, your situation cannot be described as unavoidable. I love when politicians and their little sheep blame a crisis that they created. Don Cunningham is an incompetent hack. Good luck with that governor run. He's politically worthless now. Time to poke around the bridge commission.