A proposed 1-mill Schuylkill County property tax increase would cost the average homeowner about as much as a couple of large pizzas.

County commissioners on Wednesday approved the first-draft spending plan by a 2-1 vote, with Commissioner Gary J. Hess opposed.

A final budget will be considered in December.

The county increased the rate by 2 mills in 2014, and by 1 mill last year.

The numbers

The preliminary plan increases the general fund tax by an additional 0.55 of a mill, bringing it to 15.38, and the debt service tax by an additional 0.45 of a mill, bringing it to 0.60. The resulting 15.98 mill proposed levy is 1-mill more than the current 14.98 mill rate.

The increase would cost the average homeowner $31.59, said county Finance Director Paul E. Buber.

The average assessed value of homes in the county is $31,595. A mill is $1 for every $1,000 of assessed value.

The 1-mill increase would generate $1.1 million in revenue.

The preliminary budget anticipates $55,190,759 in revenues and $61,222,201 in expenditures.

The increase would help bridge the gap, but there would still be a $6,031,442 shortfall.

The county expects to dip into the unassigned fund balance, an account meant to provide a 60-day financial cushion, for the money.

But county Administrator Gary R. Bender is concerned that the borrowing would halve that to 30 days.

Buber said the team that worked on the spending plan trimmed about $2,400,000 from the initial $9,544,117 general fund shortfall.

Driving the increases

Bender cited health benefits, salaries, and prison costs as the drivers of the general fund increase.

Health benefits are expected to increase by $825,000 to a total of $15,400,000.

Salaries are expected to rise 3 percent, or $585,000 through collective bargaining agreements, and prison costs are expected to increase by $534,463 to a total of $7.3 million.

“And revenues are flat,” he said.

The debt service increase was triggered by the need to spend $5 million on capital projects, including improvements at the former human services building at 410 N. Centre St. so the county can move its mental health and drug and alcohol agencies there, as well as the office of District Judge James Reiley.

Children & Youth Services vacated the building in January to move to a roomier building across the street.

The mental health and drug and alcohol agencies and district judge currently are in leased buildings. Moving them to the former human services building will save $100,000 a year, Bender said.

Also, the original 120-year-old slate roof of the courthouse needs repair, and Bender is looking at having faux slate installed.

The courthouse security system also needs to be upgraded, with new card readers and cameras, and courtroom 1 needs air conditioning so it can be used year round.

Rather than floating a bond issue, the county plans to borrow the $5 million.

“We’ll shop local markets for a competitive rate,” Buber said.

Financing the loan over 10 years will add $610,000 to debt service payments, he said.

Increasing the millage will cover those payments.

Commissioners weigh in

Hess said he voted against the proposed general fund budget because he believes more can be trimmed, and “we need to find other revenue sources than property taxes.”

He suggested, for example, leasing the radio frequencies purchased about six years ago for the 911 center.

Recently expanded gaming opportunities also may provide revenue, and deciding on an alternative to housing overflow prison inmates in other counties to prevent overcrowding at the county jail would save money, he said.

Commissioners’ Chairman George F. Halcovage Jr. said the financial team “challenged every department head and row officer” to be as frugal as possible.

“The county is in excellent shape, but we have to think long-term,” he said. “We are making good, strong decisions for the long-term well-being of everyone in the county.”

Commissioner Frank J. Staudenmeier said he’s reluctant to raise taxes, but it seems unavoidable this year.

Adopting a zero-based budget in 2004 was a good move in that it “holds department heads and row officers responsible for every penny spent,” he said.