PRESENT – President Bollendorf, Vice President Stockton, Councilwoman Anzinger, Councilwoman Benjamin, Councilwoman McMenamin, Councilwoman Reichner, Councilwoman Ostrander, Chief Gardner, Manager Hegele, Superintendent Sine, Assistant Secretary DeRenzis, Librarian Celec, and Tax Collector /Enterprise President Mount were present.
CALL TO ORDER – President Bollendorf called to order the November 2, 2020 budget Workshop Meeting to order at 6:00 P.M.
President Bollendorf stated Council was in receipt of the 2021 Preliminary Operating Budget for the Borough of Hatboro. Vice President Stockton stated that we are looking at unprecedented times with the COVID situation continuing to unfold and it has impacted the budget and they need to look at making changes to adapt. He also stated that we started out strong in the beginning of the year, but due to the pandemic, many businesses were closed for 6 months which led to a reduction in BPT and inspection revenue as well as fines, permits, and parking meter fees along with unplanned expenses such as PPE and cleaning supplies. He also stated that Council discussed budget goals for 2021 and they feel avoiding a tax increase is extremely important right now.
Vice President Stockton stated that the amount for 2021 set expenditures is $6,001,486.00 with $3,965,881.00 tied up in wages. He also stated that we are not as far off than expected regarding property taxes and that local taxes took more of a hit and its not likely we will make up the $ 265,000.00 at this point and will possibly fall a little short regarding revenue. President Bollendorf asked tax collector Mount if she thought the reason BPT revenue was low due to the fat that businesses were not able to pay along with being lower because their revenue was down as well and Tax Collector Mount stated that yes that was the reason and as far as next year revenue form BPT may be even lower but is hoping they get close to what was estimated for the 2020 budget by the end of the year. Manager Hegele stated that Berkeimer has not given them their projections yet as other municipalities have asked for the same and she is hoping to get an amount before the Preliminary Adoption in two weeks.
Councilwoman Benjamin thought we were high regarding permit fee projection because it doesn’t seem we have met the budgeted amount for a couple of years however Vice President Stockton stated that there is a large project in the works. President Bollendorf stated that Use and Occupancy inspections were down and Manger Hegele stated that due to COVID, inspections and closings were not able to take place and the they have been picking up as homes sell quickly in the Borough.
Vice President Stockton stated that as far as expenditures, most of it is set especially wages, but travel and education can be adjusted to a lower amount and President Bollendorf stated that most of this if not all can be done online which will eliminate travel expenses therefore that amount could be cut more than half. President Bollendorf stated that Administrative staff is short a full timer and Council needs to discuss because seeing what we are taxed with for next year we may have to rethink filling that position. He also stated that Councilwoman McMenamin is working on efficiency in the office because we need to make sure we are operating as efficient as we can.
- EXECUTIVE ADMINISTRATION – Projected 2021 amount of $513,049 was adjusted to $ 505,549.00
- Travel expense was removed, any/all education can be done online
Consultation Services adjusted $6,000.00
- Telephones adjusted $1,500.00
- FINANCIAL ADMINISTRATION – Amount of $ 27,065.00 is set.
- TAX COLLECTION – Amount of 18,083.00 is set.
- SOLICITOR – Projected 2021 amount of $86,500.00 was adjusted to $ 81,500.00.
- Legal Professional services adjusted $ 5,000.00
- DATA PROCESSING– Amount of $ 4,550.00 is set.
- ENGINEERING – Projected 2021 amount of $ 60,000.00 was adjusted to $ 57,500.00.
- Professional services adjusted $ 2,500.00.
- LOLLER ACADEMY – Projected 2021 amount of $ 53,480.00 was adjusted to $ 51,830.00
- Supplies adjusted $ 1,500.00.
- Discussion on adjusting HVAC contract and maintenance due to installing new HVAC but kept set amount of $6,720.00 due to not being sure of exactly when the new system will be installed.
- District Court Electric and heating adjusted $ 150.00.
- POLICE – Amount of $ 3,444,636.00 is set.
- A significant amount was saved ($82,734.00) for healthcare during contract negotiations.
- Travel and education adjusted $ 2,000.00.
- FIRE MARSHAL – Projected 2021 amount of $ 2,600.00 was adjusted to $ 1,140.00.
- Travel and education adjusted $ 250.00.
- Uniforms was adjusted $ 50.00.
- Communication equipment adjusted $ 360.00.
- Departmental supplies adjusted $ 150.00.
- Dues and memberships adjusted $ 750.00.
- CODE ENFORCEMENT – Projected 2021 amount of $ 79,180.00 was adjusted to $ 58,600.00.
- Code Enforcement wages adjusted $ 5,000.00.
- FICA was adjusted $ 380.00.
- Codes Professional Services was adjusted $ 15,000.00.
- Department supplies was adjusted $ 200.00.
- PLANNING & ZONING – Projected 2021 amount of $ 13,738.00 was adjusted to $ 13,688.00.
- Departmental supplies adjusted $ 50.00.
- EMERGENCY MANAGEMENT – Projected 2021 amount of $ 10,230.00 was adjusted prior to meeting and remains the same.
- CROSSING GUARDS – Projected 2021 amount of $ 23,398.00 was adjusted prior to meeting and remains the same.
- RECYCLING – Projected 2021 amount of $ 88,600.00 remains the same.
- President Bollendorf asked Superintendent Sine to explain why the amount went from $ 47,000.00 to $ 88,600. Superintendent Sine stated that China is our biggest consumer of Recycling and they have stopped buying therefore the market has plummeted for that. He also stated that there is a contract in place with Mascaro which has been extended and Hatboro is part of a consortium with seven other municipalities which make up this consortium and they are seeking other endeavors to try to get this number down but will not be coming in the near future. He also stated that this is an increase of about 35% for single stream recycling to take it to about $132.00 per ton. President Bollendorf stated that there is nothing that can be done about this increase as we are at the mercy of a commodities market.
- SOLID WASTE DISPOSAL – Projected 2021 amount of $ 181,962.00 remains the same.
- There was significant savings changing to a direct haul.
- PUBLIC WORKS– Projected 2021 amount of $ 1,670,340.00 was adjusted to $ 1,663,419.00.
- Some line items are dependent on CBA.
- Some numbers are dependent on being fully staffed.
- Overtime was adjusted $ 5,500.00.
- Departmental Supplies was adjusted $ 1000.00.
- SNOW AND ICE CONTROL – Projected 2021 amount of $ 37,239.00 was adjusted to $ 29,548.00.
- Snow OT was adjusted $ 2,500.00.
- Chemicals was adjusted $5,000.00.
- TRAFFIC SIGNALS AND STREET SIGNS – Projected 2021 amount of $ 20,024.00 was adjusted to $ 9,024.00.
- Departmental and Maintenance Supplies were combined to a single line item and was adjusted $ 11,000.00.
- STREET LIGHTING – Projected 2021 amount of $ 45,000.00 remains the same.
- SIDEWALKS AND CROSSWALKS – Projected 2021 amount of $ 2,000.00 was adjusted to $ 500.00.
- Departmental Supplies was adjusted $ 1,500.00.
- STORM DRAIN MAINTENANCE – Projected 2021 amount of $ 7,000.00 was adjusted to $ 4,500.00.
- Repairs/Maintenance was adjusted $ 1,500.00.
- Minor Equipment was adjusted $ 1,000.00.
- TOOLS AND MACHINES – Projected 2021 amount of $ 177,843.00 was adjusted to $ 173,093.00.
- Some line items are dependent on CBA.
- Departmental Supplies was adjusted $ 500.00.
- Minor Equipment was adjusted $ 250.00.
- Education was adjusted $ 500.00.
- Fuel was adjusted $ 3,500.00.
- STREET MAINTENANCE – Projected 2021 amount of $ 187,822.00 remains the same.
- PARKING FACILITIES – Projected 2021 amount of $ 5,000.00 was adjusted to $ 4,500.00.
- Repairs/Maintenance was adjusted $ 500.00.
- CRESSBROOK – Projected 2021 amount of $ 9,373.37 was adjusted to $ 7,448.37.
- President Bollendorf stated that a Friends of Cressbrook is being established and if approved at Council Meeting, there is a possibility of billing the Friends of Cressbrook once they get established.
- President Bollendorf stated fundraising will eventually be the main source of income but the Borough is to cover this cost now as repairs are needed.
- Barn and Bathroom maintenance in the amount of $ 1,925.00 was moved to parks or PW.
- PARKS – Projected 2021 amount of $ 53,166.00 was adjusted to $ 29,791.00.
- Parks Survey in the amount of $ 23,000.00 was moved to gen cap.
- One-Time Costs (Gaga Pit) in the amount of $ 2,000.00 was removed.
- ECONOMIC ASSISTANCE – Projected 2021 amount of $ 2,500.00 remains the same.
- Vice President Stockton stated that they are looking to avoid a TAN this year.
- President Bollendorf stated that we will looking at a deficit either way but would like to get it under $ 200,000.00 and that it can be fixed by making a transfer or raising taxes and he, as well as the rest of Council agreed, are for the transfer.
- Vice President Stockton stated they will be cautious about applying for Grants, especially those with matches.
- LIABILITY INSURANCE – Projected 2021 amount of $ 231,661.00 remains the same.
- GROUP BENEFITS – Projected 2021 amount of $ 2,725.00 remains the same.
- Dependent on CBA.
- UNION LIBRARY – Total projected income is $222,941.00 with total expenses $ 214,061.00 which leaves a profit of $ 8,880.00.
- Hatboro Federal helps with the purchase of children’s books.
- ENTERPRISE – Total 2021 Fire Protection revenue is $ 374,800.00 with total expenses $ 403,395.00 with a shortage of $ 28,595.00 which will be made up this year.
- SINKING FUND – Total 2021 amount of sinking expenditures is $ 437,130.00 with total income is $ 311,579.00.
- This is used to pay all the debt services for the Borough.
- They will have to decrease the millage rate because 2020 started with a $ 174,705.62 surplus.
- HATBORO MEMORIAL POOL – Projected 2021 revenue is $ 137,323.00 with total expenses $ 130,981.00 leaving a projected profit of $ 6,343.00.
There was no public comment.
Vice President Stockton stated that this was a good time to restructure debt.
President Bollendorf stated that there are a few meetings with the Finance Committee and staffing will be looked at and hopefully they can get the number down to a manageable one.
ADJOURNMENT – President Bollendorf adjourned the November 2, 2020 Budget Workshop Meeting at 8:46 P.M.
Respectfully Submitted by,
Transcribed by Cynthia Bollendorf