Emmaus Borough council voted 7-0 in favor of a first reading to raise taxes for the fiscal year of 2017.

The proposed ordinance will raise taxes by 5.5065 mills. A mill is a $1 tax on every $1,000 of a property’s assessed value. The 5.5065 mills will be split between a general tax fund of 4.8754 mills and a fire fund tax of 0.6311 mills.

Councilman Nathan Brown stated immediately the tax increase was not due in part to the purchase of the new borough offices.

Borough Manager Shane Pepe backed up Brown’s statement. “Any and all expenses for the new building come from $106,000 we have in escrow. Revenue that’s generated from the sale, and not to mention the rent from the building, pays for the mortgage so absolutely no expenses that go to the building next year are as a result of a tax increase.”

Pepe explained the tax increase, which is roughly 6.79 percent, is generated from about $750,000 of increases in salaries, benefits and pensions due to the borough coming back up to full staff in certain departments. “Council made the decision, and I supported, that we come back up to full staff in some of these departments we’ve been running short in.”

Ambulance, a full-time public works employee and the police department are the areas where more staff were added.

“When you add that staff, you had the salary and benefits to go with it, plus with the increase of health care to 14 percent, you know those costs add up.”

Pepe said regardless of how much money is carried over from the previous year, it’s a “major bowl to fill” and that’s where the tax increase comes from.”

Council President Brent Labenberg added when council first met for budget meetings, the original tax increase was much worse. As more numbers started to come in, council lowered the tax increase as best as it could.

In related news, sewer and sewerage disposal rates will also be increasing for borough residents.

Pepe said the Allentown sewer upgrades are eminent and will result in up to $200 million in improvements between now and 2040. He said the borough is particularly concerned about the improvements to take place in 2020, which includes a $20 million upgrade at the Allentown sewer plant which Emmaus will be partially responsible for. Pepe said the borough is responsible for 3.5 percent which is roughly $875,000.

He said council talked in detail about how to pay for it without taking out continuous loans to pay for the sewer projects. Council wants the opportunity to get ahead of schedule.

“What we did, was we took that $875,000 and broke it out over four years and created what we called a reserve fund,” Pepe said.

The amount a user pays will be based on the size of a resident’s water meter – that way a singular borough resident won’t be paying the exact same amount as an industrial property owner.

When it comes down to it, the average resident is going to pay an additional $49 a year until 2020. The cost will be broken up into four quarters, which will be $12.25 a quarter. When residents receive their bills it will say capital reserve fund next to the price.

If for some reason the project does not go through, the money will be used for infrastructure which includes separating the stormwater from the sewerage system, fixing lines and fixing manhole covers.

Pepe noted the ordinance is written so it prevents council from using the money to balance the budget or any other project.

The 2017 budget is complete and will be published for the community to see in the upcoming days. The distribution of the budget is as followed: $10,693,226 under general, $714,050 under fire, $1,310,280 under water, $1,509,490 under sewer, $786,823 under debt services, $1,203,800 under capital projects, and $509,150 under liquid fuels. The grand total is $16,726,820 which is $1,733,783 higher than the 2016 budget.

“Once again I’d like to thank borough council for your work with the budget and our department managers because it’s an enduring process for them” Pepe said. “I’d also like to point out the hard work of Christine Snyder getting all the numbers for me especially at the last second, as well as Kathy Yaindl who, if it wasn’t for her, I’d probably fall apart when it comes to this stuff.”

Ordinance 1148 passed its final reading which will amend restricted parking on certain days and hours in the 500 block of Ridge Street. There will be a one hour parking spot removed from the north end of Ridge Street and two parking spots added to the south side of Ridge Street. The first sign will be parking 8 a.m. to noon Saturdays only and a two-hour parking spot 8 a.m. to 8 p.m. Monday through Friday.

Ordinance 1139 passed its first reading which will remove a residential handicapped parking sign in front of 177 Elm St.

Council unanimously voted to appoint Dimmich and Dinkelacker as the 2017 borough delinquent tax collection agency. “Collections have shot through the roof ever since we started using them as opposed to the county,” Pepe said.