East Whiteland: No Tax Increase, But Budget Stays 'Bare Bones' For 2012

The East Whiteland Board of Supervisors approved a preliminary 2012 budget that proposes no tax increases, no major program changes and keeps the budget as "bare bones" as possible, following a meeting Wednesday night.

Township administrators predict they will end 2012 with a $525,000 program deficit, which will be paid for out of the township's savings rather than with a tax increase for residents, Township Manager Terry Woodman said.

The township will use the same method to pay for 2011's estimated $227,000 deficit.

East Whiteland's savings fund is between $3.2 and 3.3 million, Woodman said, and the township has $2.5 million set aside in a capital improvements fund for future improvement to facilities.

"This is cash that we're taking out of our savings account, which we call a 'rainy day fund,'" Woodman said. "It's money that we've set aside in other years just in case. And last year, the board decided that since we had such a healthy rainy day fund, it's raining now and it's time to use it."

"It's raining now"

In more economically sound years for the township, East Whiteland hosted fireworks and concert series in the summer, but both were canceled years ago due to lack of township revenue—the fireworks in 2008 or 2009, and the concert series in 2010. Neither are included in 2012's budget, though the Parks and Recreation department is setting up a 501C3 to solicit corporate donations for a 2012 summer concert series, Woodman said.

Bulk trash collection, which was reduced from two collections to one collection in 2011, will remain at one collection for 2012.

"The board understands that in the last few years, we've been cutting so much that this is down to bare bones," Woodman said.

Future Plans

The tight budget for 2012 brought about discussion for plans and preparation for coming years.

"If the economy remains stagnant, what other plans do we have in the future?" asked supervisor Bill Holmes.

Supervisor Virginia McMichael agreed, asking what the township could do in terms of "long term forecasting."

Woodman said that making predictions in this economy would not necessarily be fruitful.

"Everyone thought the turn would be at the end of 2010, so we could have built a plan based on what people in the business thought and still be where we are today," she explained. "I can tell you there is a small uptick in the market … there is movement starting in the commercial industry. I think we have one more year uncertain. I think in 2013, we'll be back to where we were in 2007 or 2008."

Residents can view a copy of the preliminary budget at the township office upon request.

The final 2012 budget will be voted on at the Board of Supervisors regular meeting this coming Wednesday, Dec. 14.