7
PM; Nov 26, and Dec 10 beginning at 7:00 p.m., except for Dec 17th
at 4:30 p.m.. Home Rule Borough of Edinboro
Public Hearing Minutes
November 26, 2007
Call to Order:
Mayor Horne called the Public Hearing to order on Monday, November 26, 2007 at 6:30 p.m.
Present:
Robert Cogan, Jean Davis, Robert Cannell, Dennis Travis, Mary Ann Horne, Manager “TJ” Jemetz; Solicitor Ritchie Marsh, Assistant to the Manager Marie Lander, Gordon Herbst from EUP; George Shimpeno; and Meghan Moeslein of the Edinboro News.
Purpose:
Mayor Horne explained the public hearing was to take public input on the budget and tax ordinances.
Public Participation:
Jean Davis stated she was pleased with the different way to approach the 2008 year with the Homestead Act, Rental Lease Tax, and Earn Income tax reduction by ˝%. She thanked Manager Jemetz and Assistant to the Manager Lander for their hard work.
Robert Cogan stated he was unable to attend the budget workshop sessions, but he had no lack of confidence in the budget process. He thought it was an excellent way to handle the taxes so we are doing something really effective to retain community.
Solicitor Marsh informed Mayor Horne she should ask the public for specific input into the Ordinances, listing them as : Ordinance 552 Local Services Tax (LST); Ordinance 554 Amending Rental Lease Tax Rate; Ordinance 555 Homestead Act; Ordinance 556 Realty Transfer Tax; Ordinance 558 Real Estate Tax Levy; Ordinance 559 Earned Income Tax Amended Rate; as well as the Resolution 24-2007 adopting the 2008 budget.
Mayor Horne then asked for any comments on the following: Ordinance 552 Local Services Tax (LST); Ordinance 554 Amending Rental Lease Tax Rate; Ordinance 555 Homestead Act; Ordinance 556 Realty Transfer Tax; Ordinance 558 Real Estate Tax Levy; Ordinance 559 Earned Income Tax Amended Rate; as well as the Resolution 24-2007 adopting the 2008 budget.
Being no public input, Councilman Cogan stated that 10 years ago the Borough compiled an extensive comprehensive plan. Goal #5 was to increase the number of owner occupied and affordable housing. President Brown new university development housing should help. This tax package also will be a big help. Communities are deteriorating with the aging memberships in civic community organizations such as the Fireworks Committee. The percentage of residents occupied 10 years ago was 49% and 51% rental. Presently it is 64% rental and 36% permanent resident occupied housing. He also pointed out that Council must act promptly to do things. He noted that the Borough had received an $11,500 PLCB grant but that the legislature was moving to cut off access to residential rental lease taxation, except for grandfathering those communities that already have it in place. Therefore it was good that we enacted it promptly, last year. Mayor Horne thanked Mr. Cogan for his input and insight.
Adjourn:
Jean Davis moved to adjourn at 6:48 P.m. and the Hearing was adjourned.
ATTEST:
_______________________________ _____________________________
Manager T. Jemetz Mayor Mary Ann Horne
Home Rule Borough of Edinboro
Council Minutes
November 26, 2007
Call to Order:
Mayor Horne called the meeting to order on Monday, November 26, 2007 at 7:00 p.m.
Roll Call:
Robert Cogan, Jean Davis, Clifford Allen, Robert Cannell, Dennis Travis, and Mary Ann Horne were present. Member absent was Greg Lucas. Others present included Manager “TJ” Jemetz; Solicitor Ritchie Marsh; and Assistant to the Manager Marie Lander. Guests present were Gordon Herbst of EUP; George Shimpeno; and Meghan Moeslein of the Edinboro News.
Approval of Minutes:
Robert Cogan moved approval of the regular meeting minutes of November 12, 2007. H. Robert Cannell seconded the motion and it passed by 5-0-1 voice vote, with Clifford Allen abstaining because he was absent. .
Approval of agenda:
Mayor Horne asked for a motion to approve the agenda as printed and posted.
Jean Davis moved to accept the agenda as posted and Robert Cogan seconded.
The agenda passed by 6-0 voice vote.
Public Participation:
Gordon Herbst, an EUP employee for 22 years and resident of Millcreek spoke before Council. He thanked Council for allowing him to speak tonight as well as at the budget workshop the other night. EUP’s replacement housing site is on commonwealth property. Housing of the 1960’s is being replaced with suite style dorms like Slippery Rock Campus, Clarion, and Penn State Behrend. This is an attractive housing facility being administered by Edinboro Foundation a 501(3) c with the first phase of 234 units. Tax exempt bonds will be secured shortly and construction to starts in January 2008. It will open for students in January 2009. The bonds are based on revenues and through the process the bonding insurers have a concern regarding whether it will be a potentially taxable project, since the ground will be leased from the University and it is replacing housing. Shafer Hall is leveled already and two buildings will be constructed soon and two more will follow kitty corner from them. Mr. Herbst was asking the Borough’s support for the project by giving a letter or document so the bond agent would be assured that the Borough will not tax this property.
Manager Jemetz asked Mr. Herbst if he had also asked for a letter from the School District and County? Mr. Herbst stated that last Wednesday they received a draft from the School District not to pursue any taxes, as they feel this is tax exempt. The county wants to discuss this last. We need to get students to return to campus. As of a survey 1 ˝ years ago students felt that suites were attractive and they would be willing to rent.
Robert Cogan asked since West Chester did something similar in 2004 why would the bonding company be concerned or was there some legal development since then? Mr. Herbst opinion that Mr. Cogan should look at Lock Haven. The Bond issuers are ultimately conservative and we are going through their diligence concerns. This is an issue he raised and we have an appeal process. Mr. Cogan stated he was favorable to new dorms but the Borough needs resources ourselves and must be careful about waiving our rights to taxation that we are entitled to. The problem is large number students use of police and costs in the Borough. As we consider this maybe EUP can help with Borough. Mr. Herbst stated maybe we can make a contribution to EVFD to help the Borough. Mr. Cogan stated that would be desirable. EVFD uses the Lawrence towers for drills and the university uses their services. Mr. Herbst stated that their services help the community.
Robert Cannell asked about a copy of the letter from the superintendent of Schools. Also what about Phase 2 across Perry Lane? Mr. Herbst stated currently he could not negotiate on the feasibility of a retirement facility on the east of Perry Lane. A mutual relationship of cradle to grave of life long learning would be desirable.
Manager Jemetz asked whether EUP could divest (sell the land to a private party) so that portion could become taxable. You are presently asking that we give a potentially give up $1/4 million dollars a year taxes. Would you divest to a taxable entity to help the community with relief from tax exempt properties? Mr. Gordon Herbst said it was a viable source and he can’t give any assurances or offer to broker land any time in the future. We started due diligence the first of the year to see if retirees and alumni were interested in starting a 60 acre independent living facility, then building an assistant living section. He stated he would do what he could as they moved forward. Students during summers and holidays could spend time with the elderly and spend funds here in town.
Jean Davis stated that freshmen are required to live on campus, maybe sophomores could also be required. Mr. Herbst stated that Mr. Redlawsk wouldn’t like, as it would hurt his business. On campus and current students want to in with newer housing with apartment style suites. The proposal is viable to pay debt service.
Jean Davis stated that for us to give up tax revenue, we need a creative way that EUP can help support the Borough. SSHE has not helped the Boroughs and citizens are taxed to death. Extra charges for our university burdens to balance budget cause fees increase to pay for it. State Legislature could work with EUP on legislation that allows for revenue help for the Borough.
Mr. Cogan stated his daughter is going to the University of Pittsburgh and is charged $90 fee to Pittsburgh University Police as well as a student activity fee. Student government leaders could be encouraged to help with our costs incurred. In our own study shows that 50% of our police calls involve a student in one way or another. A $10 per student “Student Protective Services Fee” paid out of Student Government Student Activities fees would be very helpful.
Being no other requests to speak before Council, Mayor Horne moved on to old business.
Old Business:
Committee Reports:
Finance Committee: Jean Davis moved acceptance of bills as presented for November 26, 2007 of $27,614.09. Clifford Allen seconded. H. Robert Cannell asked questions on bills, first regarding exoneration by the county and also the entries for 2007 Impala for tires and inspection that is for 2003 car. The motion passed by 6-0 voice vote.
Jean Davis moved authorization to approve payroll ending November 17 and paid November 23, 2007 totaling $51,997.09. Clifford Allen seconded the motion and it passed by unanimous 6-0 voice vote.
Jean also noted that they met November 20th at 9 a.m. for pension review meeting with representative which was an informative session.
Ordinance Review Committee: Jean Davis introduced final reading of Ordinance 552 regarding Local Services Tax which replaces the Emergency Services Tax:
LOCAL SERVICES TAX
HOME RULE BOROUGH OF EDINBORO,
ERIE COUNTY, PENNSYLVANIA
ORDINANCE NO. 552 - 2007
AN ORDINANCE PROVIDING FOR THE LEVY, ASSESSMENT AND COLLECTION OF A LOCAL SERVICES TAX, PROVIDING REVENUE FOR SPECIFIC PROJECTS PERMITTED UNDER THE ACT; AN ORDINANCE AGAINST EACH INDIVIDUAL ENGAGED IN ANY OCCUPATION, TRADE, OR PROFESSION IN THE BOROUGH OF EDINBORO, PROVIDING FOR THE COLLECTION OF SAID TAX; PROVIDING FOR THE EXEMPTION FROM SAID TAX; PROVIDING PENALTIES FOR THE NON-PAYMENT AND DELINQUENT PAYMENT OF SAID TAX; AND PROVIDING A CERTIFIED COPY OF SAID ORDINANCE BE FILED WITH THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT OF THE COMMONWEALTH OF PENNSYLVANIA.
The Borough of Edinboro hereby ordains and the Borough Council of the Home Rule Borough of Edinboro, Erie County, Pennsylvania, hereby enacts and ordains the following ordinance:
SECTION 1-SHORT TITLE. This Ordinance shall be known and may be cited as the “Local Services Tax.”
SECTION 2-AUTHORITY OF ENACTMENT. This Ordinance is enacted under the authority of the Local Tax Enabling Act, 53 P.S. §6901, et seq., and Pennsylvania House Bill 197 of 2004, and amended by Act 7 of 2007 and the Borough of Edinboro Home Rule Charter as said laws and charters are hereinafter amended, supplemented, modified or reenacted by the General Assembly of Pennsylvania.
SECTION 3-DEFINITIONS. The following words and phrases, when used in this Ordinance, shall have the meaning ascribed to them in this section, except where the context or language clearly indicates or requires a different meaning:
A. “Individual” - shall mean any person, male or female, engaged in any occupation, trade or profession within the corporate limits of the Borough of Edinboro;
B. “Occupation” - shall mean or include any trade, profession, business, or undertaking of any type, kind or character, including services, domestic or otherwise, carried on or performed within the corporate limits of the Borough of Edinboro for which compensation is charged and/or received, whether by means of salary, wages, commissions or fees for services rendered;
C. “Employer” - shall mean any individual, partnership, association, corporation, governmental body, agency, or other entity employing one or more persons on a salary, wage, commission or other compensation basis, including a self-employed person;
D. “Tax” - shall mean the Local Services Tax in the amount of Fifty-two Dollars ($52.00) per annum levied by this Ordinance;
E. “Tax Collector” - shall mean the Borough Manager of the Home Rule Borough of Edinboro and/or his/her designated assigns and/or agents;
F. “Taxpayer” - shall mean any individual liable for the tax levied by this Ordinance;
G. “Fiscal Year” - shall mean the period beginning January 1 and ending December 31. The first fiscal year for this Ordinance shall be the period beginning January 1, 2008, and ending December 31, 2008;
H. “Borough of Edinboro” [JR1]or the “Home Rule Borough” - shall mean the area within the corporate limits of the Borough of Edinboro;
I. “He,” “his” or “him” - shall mean and indicate the singular and plural number, as well as male, female and/or neuter gender.
SECTION 4 - IMPOSITION OF TAX. A tax to be utilized for emergency services, which shall include emergency medical services, police services and/or fire services, road construction and/or maintenance, reduction of property taxes, property tax relief through implementation of Homestead and Farmstead Exclusion in accordance with 53 Pa.C.S. Chapter 85, Subchapter F. Said Local Service Tax is hereby levied upon the privilege of engaging in an occupation within the corporate limits of the Borough of Edinboro. Each individual who exercises such privilege for any length of time during any year wherein he has earned income and/or net profits of $12,000.00 or more shall pay a tax in the amount of $52.00 in accordance with the provisions of this article. This tax is in addition to all other taxes of any kind or nature levied by the Borough. It shall be the obligation of each such person so engaged in an occupation to pay or cause to be paid the tax herein imposed by the due date for the quarter in which he earns the annual required minimum of $12,000.00. The adoption of this article shall constitute notice and demand for payment of this tax.
A. Each employer shall register with the Tax Collector the employer’s name, address and other information the Tax Collector may require within fifteen (15) days after the effective date of this Ordinance or within fifteen (15) days after first becoming an employer.
B. Each employer within the Borough, as well as those employers situated outside the Borough but who engaged in business within the Borough, is hereby charged with the duty of collecting from[JR2] each of his employees engaged by him and performing for him within the Home Rule Borough of Edinboro said tax of fifty-two dollars ($52.00) per year and making a return and payment thereof to the tax collector. Each employee subject to the tax shall be assessed a pro rata share of the tax for each payroll period in which the employee is engaged in the Home Rule Borough of Edinboro. The pro rata share of the tax assessed on an employee for a payroll period shall be determined by dividing the $52.00 rate of the tax by the number of payroll periods established by the employer for the calendar year. For purposes of determining the pro rata share, an employer shall round down the amount of the tax collected each payroll period to the nearest one-hundredth of a dollar. Collection of a local services tax levied under this subclause shall be made on a payroll period basis for each payroll period in which the person is engaging in an occupation except as provided in subclause (J). Each employer is hereby authorized to deduct this tax from each employee who has not otherwise claimed an exemption from paying the tax, whether said employee is paid by salary, wages, or commission. Each employer shall be required to remit the tax within thirty (30) days after the end of each quarter of a calendar year. Remitting starting on or before March 31 of the current tax year, file a return on a form prescribed by the tax collector, and pay to said tax collector the full amount of taxes deducted on or before April 30 of the current tax year. For each taxpayer for whom no prior deduction has been made, who is employed after the effective date of this Ordinance, and in any of the three (3) month periods ending June 30, September 30 and December 31 of the current tax year, each employer shall deduct the tax from compensation payable to the taxpayer, file a return on a form prescribed by the tax collector, and pay said collector the full amount of all tax deducted on or before July 31 or October 31 of the current tax year, or January 31 of the following year, respectively. The employer will provide the employee with evidence of deduction on a fo[JR3]rm to be furnished to the employer by the tax collector.
C. Any employer who discontinues business or ceases operation before December 31 of any year during which this tax is in effect shall file the return hereinabove required and pay the tax to the Tax Collector, within fifteen (15) days after discontinuing business or ceasing operations. The failure of an employer to deduct the tax shall not relieve the employee from the duty to file a return and pay the tax. Any employer who fails to deduct the tax as required by this section, or who fails to pay such tax to the Tax Collector, shall be liable for such tax in full, as though the tax had originally been levied against such employer.
D. All self-employed individuals who perform services of any type or kind or engage in any occupation or profession within the Borough shall be required to comply with this article and pay the tax to the tax collector by April 20 of each year, unless he or she has otherwise claimed an exemption from the tax.
E. As to employees who present official receipts evidencing prior full payment of the tax imposed hereby, either directly or by collection through employers, the employer shall not deduct the tax but shall maintain adequate records concerning such employees.
F. If a local services tax is levied at a combined rate exceeding ten dollars ($10) in a calendar year, a person subject to the local services tax shall be assessed a pro rata share of the tax for each payroll period in which the person is engaging in an occupation. The pro rata share of the tax assessed on the person for a payroll period shall be determined by dividing the combined rate of the local services tax levied for the calendar year by the number of payroll periods established by the employer for the calendar year. For purposes of determining the pro rata share, an employer shall round down the amount of the tax collected each payroll period to the nearest one-hundredth of a dollar. Collection of a local services tax levied under this subclause shall be made on a payroll period basis for each payroll period in which the person is engaging in an occupation, except as provided in subclause (J[JR4]).
G. If a school district levied an emergency and municipal services tax on the effective date of this subclause, the school district may continue to levy the local services tax in the same amount the school district collected on the effective date of this subclause. However, if a municipality located in whole or in part within the school district subsequently levies the local services tax, the school district may only collect five dollars ($5) on persons employed within the municipality each calendar year. A school district that did not levy an emergency and municipal services tax on the effective date of this subclause shall be prohibited from levying the local services tax. If a school district and a municipality located in whole or in part within the school district both levy a local services tax at a combined rate exceeding ten dollars ($10), the school district’s pro rata share of the aggregate local services taxes levied on persons employed within the municipality shall be collected by the municipality or its tax officer based on payroll periods as provided under subclause (F) and shall be paid to the school district on a quarterly basis within sixty days of receipt by the municipality or its tax officer.
H. Except as otherwise provided for in subclause (G), no person shall be subject to the payment of the local services tax by more than one political subdivision during each payroll period as established by subclause (I) of this Ordinance..
I. With respect to a person subject to the local services tax at a combined rate exceeding ten dollars ($10), the situs of the tax shall be the place of employment on the first day the person becomes subject to the tax during each payroll period. With respect to a person subject to the local services tax at a combined rate of not more than ten dollars ($10), the situs of the tax shall be the place of employment determined as of the day the person first becomes subject to the tax during the calendar year. In the event a person is engaged in more than one occupation, that is, concurrent employment, or an occupation which requires the person working in more than one political subdivision during a payroll period, the priority of claim to collect the local services tax shall be in the following order: first, the political subdivision in which a person maintains the person’s principal office or is principally employed; second, the political subdivision in which the person resides and works, if the tax is levied by that political subdivision; and third, the political subdivision in which a person is employed and which imposes the tax nearest in miles to the person’s home.
J. In the case of concurrent employment, an employer shall refrain from withholding the local services tax if the employee provides a recent pay statement from a principal employer that includes the name of the employer, the length of the payroll period and the amount of the local services tax withheld and a statement from the employee that the pay statement is from the employee’s principal employer and the employee will notify other employers of a change in principal place of employment within two weeks of its occurrence. The Department of Community and Economic Development shall develop a uniform employee statement form.
K. The local services tax shall be no more than fifty-two dollars ($52) on each person for each calendar year, irrespective of the number of political subdivisions within which a person may be employed. A political subdivision shall provide a taxpayer a receipt of payment upon request by the taxpayer.
L. The Home Rule Borough of Edinboro shall adopt regulations for the processing of refund claims for overpaid local services taxes for any calendar year. The regulations to be adopted by the Home Rule Borough of Edinboro shall be consistent with 53 Pa.C.S. § 8425 and 8426. Refunds made within seventy-five days of a refund request or seventy-five days after the last day the employer is required to remit the local services tax for the last quarter of the calendar year, whichever is later, shall not be subject to interest imposed under 53 Pa.C.S. § 8426. The Home Rule Borough of Edinboro shall only provide refunds for amounts overpaid in a calendar year that exceed one dollar ($1).
M. For purposes of Section 4 of this Act, the clause “combined rate” shall mean the aggregate annual rate of the local services tax levied by a school district and a municipality located in whole or in part within the school district.
SECTION 5 - DIRECT PAYMENT BY TAXPAYERS. All employers and self-employed individuals residing or having their places of business outside of the Borough but who perform services of any type or kind or engage in any occupation or profession within the Borough do by virtue thereof agree to be bound by and subject themselves to the provisions, penalties, and regulations promulgated under this article with the same force and effect as though they were residents of the Borough. Further, any individual engaged in an occupation within the Borough and an employee of a non resident employer may, for the purpose of this article, be considered a self-employed person, and in the event that this tax is not paid, the administrator shall have the option of proceeding against either the employer or employee for the collection of this tax as hereinafter provided. Provided, however, no person shall be subject to the payment of the local services tax to more than one political subdivision during each payroll period. Each such taxpayer who first becomes subject to the tax after the effective date of this Ordinance and on or before March 31 of the current tax year, shall file the return and pay the tax on or before April 30 of the current tax year, and each such taxpayer who first becomes subject to the tax after March 31 of the current tax year, shall file the return and pay the tax on or before July 31 or October 31 of the current tax year, or January 31 of the following year, whichever of such payment dates first occurs at least thirty (30) days after the taxpayer becomes subject to the tax.
SECTION 6 - NON-RESIDENT TAXPAYERS. Both resident and non-resident taxpayers by virtue of engaging in an occupation within the Borough of Edinboro, shall be subject to the tax and the provisions of this Ordinance.
SECTION 7 - EXEMPTION. The following persons shall be exempt form the tax:
A. Any person who has served in any war or armed conflict in which the United States was engaged and is honorably discharged or released under honorable circumstances from active service if, as a result of military service, the person is blind, paraplegic, or a double or quadruple amputee or has a service connected disability declared by the United States Veterans’ Administration or its successor to be a total one hundred percent (100%) permanent disability.
B. Any person who serves as a member of a reserve component of the armed forces and is called to active duty at any time during the taxable year. For purposes of this subsection, “reserve component of the armed forces” shall mean the Unites States Army Reserve, United States Navy Reserve, United States Marine Corps Reserve, United States Coast Guard Reserve, United States Air Force Reserve, the Pennsylvania Army National Guard or the Pennsylvania Air National Guard.
C. Any person whose total earned income and/or net profits from all sources within the Home Rule Borough of Edinboro is less than Twelve Thousand Dollars ($12,000.00). Any person claiming an exemption on this ground must annually file an exemption certificate with the Home Rule Borough of Edinboro, the Borough’s designated agent, and with his or her employer. IF a person who claimed an exemption for a given calendar year becomes subject to the tax, his employer shall withhold the tax for the remainder of the calendar year, including a lump sum payment equal to the amount of tax that was not collected. The Exemption Certificate shall be prescribed by the Pennsylvania Department of Community and Economic Development and will be made available to all taxpayers and employers. Employers shall ensure that the Exemption Certificates are readily available to employees at all items and shall furnish each new employee with a form Certificate at the time of hire.
(1) A person seeking to claim an exemption from the local services tax may annually file an exemption certificate with the Home Rule Borough of Edinboro and with the person’s employer affirming that the person reasonably expects to receive earned income and net profits from all sources within the Home Rule Borough of Edinboro of less than twelve thousand dollars ($12,000) in the calendar year for which the exemption certificate is filed. The exemption certificate shall have attached to it a copy of all of the employee’s last pay stubs or W-2 forms from employment within the political subdivision for the year prior to the fiscal year for which the employee is requesting to be exempt from the local services tax. Upon receipt of the exemption certificate and until otherwise instructed by the Home Rule Borough of Edinboro the tax or except as required by clause (2), the employer shall not withhold the tax from the person during the calendar year or the remainder of the calendar year for which the exemption certificate applies. Employers shall ensure that the exemption certificate forms are readily available to employees at all times and shall furnish each new employee with a form at the time of hiring.
(2) With respect to a person who claimed an exemption for a given calendar year from the local services tax, upon notification to an employer by the person or by the Home Rule Borough of Edinboro that the person has received earned income and net profits from all sources within the Home Rule Borough of Edinboro equal to or in excess of twelve thousand dollars ($12,000) in that calendar year, or that the person is otherwise ineligible for the tax exemption for that calendar year, or upon an employer’s payment to a person of earned income within the Home Rule Borough of Edinboro in an amount equal to or in excess of twelve thousand dollars ($12,000) in that calendar year, that employer shall withhold the local services tax from the person under clause (3).
(3) If a person who claimed an exemption for a given calendar year from the local services tax becomes subject to the tax for the remainder of that calendar year under clause (2), the employer shall withhold the tax for the remainder of that calendar year. The employer shall withhold from the person, for the first payroll period after receipt of the notification under clause (2), a lump sum equal to the amount of tax that was not withheld from the person due to the exemption claimed by the person under this subsection, plus the per payroll amount due for that first payroll period. The amount of tax withheld per payroll period for the remaining payroll periods in that calendar year shall be the same amount withheld for other employees. In the event the employment of a person subject tot withholding of the tax under this clause is subsequently severed in that calendar year, the person shall be liable for any outstanding balance of tax due, and the Home Rule Borough of Edinboro may pursue collection under this act.
(4) Except as provided in clause (2), it is the intent of this subsection that employers shall not be responsible for investigating exemption certificates, monitoring tax exemption eligibility or exempting an employee from a local services tax.
SECTION 8 - ADMINISTRATION AND ENFORCEMENT OF TAX. The Tax Collector shall collect and receive the taxes, interest, fines and penalties imposed by this Ordinance, and shall maintain records showing the amounts received and the dates such amounts were received. The Tax Collector shall prescribe and issue all forms necessary for the administration of the tax and may adopt and enforce regulations relating to any matter pertaining to the administration of this Ordinance. The Tax Collector and agents designated by him may examine the records of any employer and/or supposed employer or of any taxpayer in order to ascertain a tax due or verify the accuracy of any return. Every employer or supposed employer and every taxpayer or supposed taxpayer shall give the Tax Collector and any agent designated by him all means, facilities, and opportunity for the examinations hereby authorized.
SECTION 9 - COLLECTION. The Tax Collector shall collect, by suit or otherwise, all taxes, interest, costs, fines and penalties due under this Ordinance and unpaid. If, for any reason, any tax is not paid when due, interest at the rate of six percent (6%) per year on the amount of the unpaid taxes and an additional penalty of one-half of one percent (1/2 of 1%) of the amount of the unpaid tax, for each month or fraction of month during which the tax remains unpaid shall be added and collected. Whenever suit is brought for the recovery of unpaid tax, the taxpayer shall, in addition, be liable for the costs of collection, as well as for interest and penalties. The Tax Collector may accept payment under protest of the tax claimed by the Borough of Edinboro in any case where any person disputes the Borough of Edinboro’s claim for the tax. If a court of competent jurisdiction thereafter decides that there has been overpayment to the Tax Collector, the Tax Collector shall refund the amount of the overpayment to the person who paid under protest. Any action instituted for such judicial determination shall be instituted within two (2) years of the last day of the period for which the tax is disputed or claim made. All refunds shall be made in conformity with the procedures prescribed by the Borough of Edinboro.
SECTION 10 - PENALTIES. An employer or taxpayer who makes a false or untrue statement on any return required by this Ordinance, who refuses inspection of his records in his custody and control, setting forth his employees subject to this tax, who fails or refuses to file a return required by this Ordinance, or who violates any other provision of this Ordinance, shall, upon conviction thereof, be sentenced to pay a fine of not more than Five Hundred Dollars ($500.00) per occurrence and cost and in default of payment, shall be sentenced to imprisonment not to exceed thirty (30) days.
SECTION 11 - ADMINISTRATION BY BOROUGH.
A. It shall be the duty of the Tax Collector to accept and receive payment of this tax and to keep a record thereof showing the amount received by him from each employer or self-employed person, together with the date the tax was received.
B. The Tax Collector is hereby charged with the administration and enforcement of this Ordinance. The collection of delinquent Local Services Taxes may be made and enforced in the manner provided by law for the collection and enforcement of other taxes, as well as from the employer of the taxpayer, as provided in Sections 18, 19, 20, 21 and 22.1 of the Local Tax Enabling Act, as amended, which sections are incorporated by reference.
SECTION 12 – USE OF TAX FUNDS. At least twenty-five percent (25%) of the funds collected from the tax shall be used to fund emergency services within the Home Rule Borough of Edinboro.
SECTION 13 - VALIDITY. The provisions of this Ordinance are severable and if any of its provisions shall be held invalid or unconstitutional, the decision of the Court shall not affect or invalidate any of the remaining provisions. It is hereby declared to be the legislative intent that this Ordinance would have been adopted if such illegal, invalid or unconstitutional provision had not been included herein.
SECTION 14 - REPEALER. All ordinances or parts of ordinances which are inconsistent herewith are hereby repealed, it being understood and intended that all ordinances and the Code of the Borough of Edinboro, such as are not otherwise specifically in conflict or inconsistent with this ordinance, shall remain in full force and effect, the same being reaffirmed hereby.
SECTION 15 - REVISIONS. The Council of the Home Rule Borough of Edinboro does hereby reserve the right, form time to time, to adopt modifications of, supplements to, or amendments of its ordinance, including this provision.
SECTION 16 - SEVERABILITY. If any sentence, clause, section, term, phrase or part of this ordinance is for any reason found to be unconstitutional, illegal or invalid, such unconstitutionality, illegality, or invalidity shall not affect or impair any of the remaining provisions, sentences, clauses, sections, terms, provisions, or parts of this ordinance. It is hereby declared the intent of the Council of the Home Rule Borough of Edinboro that this ordinance would have been adopted had such an unconstitutional, illegal, or invalid sentence, clause, section, or part thereof not been included herein.
SECTION 17 - DURATION. The tax imposed by this Ordinance shall continue in force on a calendar year basis without annual reenactment.
SECTION 18 - EFFECTIVE DATE. This Ordinance shall be effective January 1, 2008.
SECTION 19 – FAILURE TO ENFORCE. The failure of the Home Rule Borough of Edinboro to enforce any provision of this ordinance shall not constitute a waiver by the Home Rule Borough of Edinboro of its rights of future enforcement hereunder.
ORDAINED AND ENACTED by Council of the Home Rule Borough of Edinboro, this 26th day of November, A.D., 2007.
Jean Davis moved adoption of the final reading of Ordinance 552 and H. Robert Cannell seconded. The final reading passed by 6-0 roll call vote: Gregory Lucas, absent; Clifford Allen, yes; H. Robert Cannell, yes; Robert Cogan, yes; Jean Davis, yes; Dennis Travis, yes; and Mary Ann Horne, yes.
Jean Davis introduced Ordinance 554 amending the Rental Lease Tax Rate as follows:
Home Rule Borough of Edinboro
ORDINANCE NO. 554 of 2007
AN ORDINANCE TO AMEND THE CODE OF ORDINANCES OF THE
HOME RULE BOROUGH OF EDINBORO, CHAPTER 24, TAXATION; SPECIAL, TO AMEND PART 7 §704, RESIDENTIAL RENTAL TAX, TO ESTABLISH THE RATE OF SUCH TAX.
BE AND IT IS HEREBY ORDAINED AND ENACTED by Borough Council of the Home Rule Borough of Edinboro, Erie County, Pennsylvania, as follows:
Section 1. The Code of Ordinances of the Home Rule Borough of Edinboro, Chapter 24, Taxation; Special, shall be amended by amending Part 7 §704 as follows:
PART 7
RESIDENTIAL RENTAL TAX
§704. IMPOSITION OF TAX.
A tax is hereby levied and imposed, for general Borough purposes, on every Lease Transaction, at the rate of fifty ($50.00) dollars.
It is the intent and purpose of this Ordinance that the remaining terms, provisions and sections of Ordinance 541 of 2007 and being Chapter 24, Part 7, are hereby ratified and reenacted.
DULY ORDAINED AND ENACTED this 26th day of November, 2007, by Council of
The Home Rule Borough of Edinboro, Erie County, Pennsylvania, in lawful session duly assembled.
Jean Davis moved adoption of Ordinance 554 on the final reading and Robert Cogan seconded. Mayor Horne asked for a roll call vote. Jean Davis, yes; Dennis Travis, yes; Gregory Lucas, absent; Clifford Allen, yes; H. Robert Cannell, yes; Robert Cogan, yes; and Mary Ann Horne, yes. The motion passed by unanimous 6-0 roll call vote.
Jean Davis introduced Ordinance 555 Homestead Act for its final reading and seconded by H. Robert Cannell.
HOME RULE BOROUGH OF EDINBORO
ORDINANCE 555 of 2007
HOMESTEAD PROPERTY EXCLUSION
AN ORDINANCE OF THE HOME RULE BOROUGH OF EDINBORO, ERIE COUNTY, PENNSYLVANIA, ENACTING AND CREATING PART 8 of CHAPTER 24 OF THE BOROUGH OF EDINBORO CODE BY ESTABLISHING A HOMESTEAD PROPERTY EXCLUSION FROM THE HOME RULE BOROUGH OF EDINBORO REAL ESTATE TAXES AND REGULATIONS RELATED THERETO PURSUANT TO THE HOMESTEAD PROPERTY EXCLUSION PROGRAM ACT, 53 Pa.C.S.A. § 8581 et seq.
WHEREAS, the Homestead Property Exclusion Program Act, 53 Pa.C.S.A. § 8581 et seq, as amended, (the “Homestead Property Exclusion Program Act”) authorizes Borough Council to exclude from taxation a fixed dollar amount of the assessed value of each qualified homestead property in the Borough subject to certain limitations; and
WHEREAS, the Home Rule Borough of Edinboro has the additional and complimentary authority to enact the within ordinance in accordance with the powers granted to it, as a Home Rule Municipality; and
WHEREAS, the Council of the Home Rule Borough of Edinboro desires to create and establish Chapter 24, Part 8 of the Borough of Edinboro Code in order to establish a Homestead Property and Farmstead Property Exclusion from the Home Rule Borough real estate taxes.
SECTION 1: Chapter 24, Part 8, of the Borough of Edinboro Code is amended to create a new Part 8 entitled, “Homestead Property Exclusion Program” as follows:
a. Title. This Ordinance shall be known and cited as the “Homestead Property Exclusion Program Ordinance.”
b. Definitions and Construction. The definitions of terminology contained in the Homestead Property Exclusion Program Act, 53 Pa.C.S.A. § 8581 et seq., as amended, (the “Homestead Property Exclusion Program Act”) are incorporated herein by reference. All terminology contained in this Article and all provisions of this Article shall be construed in accordance with the Homestead Property Exclusion Program Act.
c. Homestead Property Exclusion. A Homestead Property Exclusion is hereby created and established pursuant to the Homestead Property Exclusion Program Act for all applicable properties in the Borough. The initial $50,000 of the assessed value of any homestead property in the Borough is excluded from Borough real estate taxes.
d. Farmstead Property Exclusion. A Farmstead Property Exclusion is hereby created and established pursuant to the Homestead Property Exclusion Act for all applicable properties in the Borough. The initial $10,000 of assessed value of any farmstead property located in the Home Rule Borough of Edinboro is excluded form the Home Rule Borough of Edinboro real estate taxes. The exclusion for farmstead property shall be in addition to the exclusion for homestead property for which the dwelling on the farm may qualify.
e. Administration and Regulations. The Erie County Assessment Office, or its successor, and the Borough Manager, or his designee, shall be responsible for administering this Ordinance. The Erie County Assessment Office and the Borough Manager shall have the authority to issue regulations with respect to the administration and implementation of this Ordinance provided that such regulations comply with the Homestead Property Exclusion Program Act.
f. Applicability. The homestead property exclusions established under this Ordinance shall apply to the 2008 Borough real estate tax year and all succeeding Borough real estate tax years until further amended as provided by law.
g. Severability. If a final decision of a court of competent jurisdiction holds any provision of this Ordinance or the application of any provision to any circumstances to be invalid, illegal or unconstitutional, then the other provisions of this Ordinance or the application of such provision to other circumstances shall remain in full force and effect.
SECTION 2: All prior ordinances are hereby repealed in whole or in part to the extent they are inconsistent herewith.
SECTION 3: This Ordinance shall be effective immediately following the carrying out of publication or recording as required by law.
Mayor Horne asked for a roll call vote on the final reading of Ordinance 555. The vote was Gregory Lucas, absent; Clifford Allen, yes; H. Robert Cannell, yes; Robert Cogan, yes; Jean Davis, yes; Dennis Travis, yes; and Mary Ann Horne, yes. The motion passed by unanimous 6-0 roll call vote.
Jean Davis moved adoption of Ordinance 556 regarding realty transfer tax for its final reading and H. Robert Cannell seconded as follows:
Home Rule Borough of Edinboro
ORDINANCE NO. 556 of 2007
AN ORDINANCE TO AMEND THE CODE OF ORDINANCES OF THE
HOME RULE BOROUGH OF EDINBORO, CHAPTER 24, TAXATION; SPECIAL, TO AMEND PART 4 §404, REALTY TRANSFER TAX, Paragraph 1 TO ESTABLISH THE RATE OF SUCH TAX.
BE AND IT IS HEREBY ORDAINED AND ENACTED by Borough Council of the Home Rule Borough of Edinboro, Erie County, Pennsylvania, as follows:
Section 1. The Code of Ordinances of the Home Rule Borough of Edinboro, Chapter 24, Taxation; Special, shall be amended by amending Part 4 §404 as follows:
PART 4
REALTY TRANSFER TAX
§404. IMPOSITION OF TAX; INTEREST
1. Every person who makes, executes, delivers, accepts or presents for recording any document or in whose behalf any document is made, executed, delivered, accepted or presented for recording, shall be subject to pay for and in respect to the transaction or any part thereof, a tax at the rate of 1.5% of the value of the real estate represented by such document, which tax shall be payable at the earlier of the time the document is presented for recording or within 30 days of acceptance of such document or within 30 days of becoming an acquired company.
It is the intent and purpose of this Ordinance that the remaining terms, provisions and sections of Ordinance 541 of 2007 and being Chapter 24, Part 4, are hereby ratified and reenacted.
DULY ORDAINED AND ENACTED this 26th day of November, 2007, by Council of
The Home Rule Borough of Edinboro, Erie County, Pennsylvania, in lawful session duly assembled.
The final reading passed by unanimous 6-0 roll call vote: Robert Cogan, yes; Jean Davis, yes; Dennis Travis, yes; Gregory Lucas, absent; Clifford Allen, yes; H. Robert Cannell, yes; and Mary Ann Horne, yes.
Jean Davis went on to move adoption of Ordinance 558 regarding the real estate tax levy for 2008 for its final reading as follows:
HOME RULE BOROUGH OF EDINBORO
TAX LEVY ORDINANCE NO 558
AN ORDINANCE OF THE Home Rule Borough of Edinboro, County of Erie, Commonwealth of Pennsylvania, fixing the tax rate for the year 2008.
BE IT ORDAINED AND ENACTED, and it is hereby ordained and enacted by the Council of the Home Rule Borough of Edinboro that a tax be and the same is hereby levied on all real property within the Borough as follows: Tax rate for general purposes, the sum of 4.85 mills on each dollar of assessed valuation and 00.5 mills for special purpose – pensions on each dollar of assessed valuation for a total of 5.35 mills.
The same being summarized in tabular form as follows:
Mills on Each
Dollar of
Assessed
Valuation
Tax Rate for General Purposes 4.85 Mills
Tax Rate for Special Purpose-Pensions 0.500 Mills
TOTAL 5.35 Mills
That any ordinance, or part of ordinance, conflicting with this ordinance be and the same is hereby repealed insofar as the same affects this ordinance.
H. Robert Cannell seconded and the motion passed by unanimous roll call vote: Clifford Allen, yes; H. Robert Cannell, yes; Robert Cogan, yes; Jean Davis, yes; Dennis Travis, yes; Gregory Lucas, absent; and Mary Ann Horne, yes.
Jean Davis introduced Ordinance 559 regarding Earned Income Tax rate (EIT) as follows:
HOME RULE BOROUGH OF EDINBORO
TAX LEVY ORDINANCE NO 559
AN ORDINANCE TO AMEND THE CODE OF ORDINANCES OF THE
HOME RULE BOROUGH OF EDINBORO, CHAPTER 24, TAXATION; SPECIAL, TO AMEND PART 3, 24§303 EARNED INCOME TAX, TO ESTABLISH THE RATE OF SUCH TAX.
BE AND IT IS HEREBY ORDAINED AND ENACTED by Borough Council of the Home Rule Borough of Edinboro, Erie County, Pennsylvania, as follows:
Section 1. The Code of Ordinances of the Home Rule Borough of Edinboro, Chapter 24, Taxation; Special, shall be amended by amending Part 3 §303 as follows:
PART 3
EARNED INCOME TAX
§303. IMPOSITION OF TAX
A tax for general revenue purposes in the amount of 1.5% (.5% School District and 1.0%Borough of Edinboro) is hereby imposed on earned income and net profits earned by residents of the Borough of Edinboro and upon all nonresidents of the Borough of Edinboro who are lawfully subjected to said tax under the provisions of the local Tax Enabling Act, Act No. 511 of 1965, as amended. Said levy shall apply to income earned during the taxable year, beginning on the first day of January, 2008 and continuing for each taxable year thereafter.
It is the intent and purpose of this Ordinance that the remaining terms, provisions and sections of Ordinance 541 of 2007 and being Chapter 24, Part 3, are hereby ratified and reenacted.
DULY ORDAINED AND ENACTED this ____, 2007, by Council of
The Home Rule Borough of Edinboro, Erie County, Pennsylvania, in lawful session duly assembled.
Jean Davis moved adoption of the final reading and H. Robert Cannell seconded. The motion passed unanimously by 6-0 roll call vote: H. Robert Cannell, yes; Robert Cogan, yes; Jean Davis, yes; Dennis Travis, yes; Gregory Lucas, absent; Clifford Allen, yes; and Mary Ann Horne, yes.
Public Safety: Clifford Allen noted that the Council looked at the speed on Maple Drive and decided to leave it the same. He had noticed we document calls and arrest6s on Mill Street for the police report and requested it also be done for Maple Drive so Council can see that it is being enforced. Manager Jemetz so no problem with this request.
Committee of the Whole: Jean Davis reminded everyone that budget workshops for November 28 and December 5 are cancelled, since we are acting on the budget this evening.
Solicitor’s Report:
Solicitor Marsh asked about questions on the Edinboro University request for a letter from Council regarding taxes.
EXECUTIVE SESSION:
Clifford Allen moved for executive session to discuss the letter requested by EUP with the Solicitor and Jean Davis seconded. Council adjourned to Executive Session at 7:44 p.m..
Council returned at 8:32 p.m. and noted that Council had given the Solicitor instructions to correspond with EUP Solicitor regarding the request of EUP.
Manager Report:
Manager Jemetz reviewed his written report in detail with Council. Mr. Cogan stated that pool health insurance maybe an option. That costs across PA maybe higher then in a pool. Manager Jemetz stated they looked into options and one option the union did not accept that they felt it was not identical care and they did not want to change.
POLICE: Monthly report was reviewed and Council asked for more information be added to the note that would be put into Officer Eaglen’s file.
Community Liaisons:
EUP: Mayor Horne informed Council that she would be speaking at the new University President’s inauguration.
COMMUNICATIONS:
Clifford Allen reported that she heard from Pat Barnes that Elmer Barnes was delighted with the location of the tree plating in his name.
Jean Davis reported that at the Intergenerational meeting she was delighted to see approximately half of the group being students and half seniors.
NEW BUSINESS:
Jean Davis moved adoption of Resolution 24-2007 adopting the 2008 budget. Clifford Allen seconded the motion as follows:
Home Rule Borough of Edinboro
RESOLUTION NO 24-2007
A RESOLUTION OF THE Home Rule Borough of Edinboro in the County of Erie, Commonwealth of Pennsylvania, appropriating sums estimated to be required for the purposes of the municipal government, hereinafter set forth, during the year 2008.
BE IT RESOLVED AND ENACTED, and it is hereby resolved by the Council of the Home Rule Borough of Edinboro, County of Erie, Commonwealth of Pennsylvania:
SECTION 1. That for the expenditures and expenses of the fiscal year 2008 the following amounts are hereby appropriated from income for the year 2008 for the purposes set forth on the following pages.
SECTION 2. That any Resolution conflicting with this Resolution be and the same is hereby repealed insofar as the same affects this Resolution.
Total Revenues 4,919,084
Total Expenditures 4,808,089
BE IT RESOLVED AND ENACTED THIS 26th DAY OF NOVEMBER, 2007
Discussion followed and Mr. Cogan asked how much the EVFD would receive in donations next year. Manager Jemetz stated $21,000 the same as Washington Township is budgeting to help with the loss of bingo funds. The resolution was approved by 6-0 roll call vote: Dennis Travis, yes; Kip Allen, yes; Gregory Lucas, absent; Robert Cogan, yes; Jean Davis, yes; H. Robert Cannell, yes; and Mary Ann Horne, yes.
Being no further new business, Mayor Horne asked for adjournment.
Clifford Allen moved for adjournment, and the meeting was adjourned at 8:45 P.M.
ATTEST:
_______________________________ _____________________________
Manager T. Jemetz Mayor Mary Ann Horne
HIGHLIGHTS
November 26, 2007
· Payment of bills
· Minutes
· Payroll
· Ordinance 552, 554, 555, 556, 558, 559, 560 Final readings- taxes/income options 2008
· Resolution 24-2007 Budget 2008
· Cancelled remaining budget workshops
POSTPONED
· Resolution 8-2006 –Policy special events
·
UPCOMING MEETINGS:
· Authority Meetings – Monday Dec 10 – 5 p.m.
MANAGER INSTRUCTED TO:
November 26, 2007
6:30 p.m. HEARING
7 p.m. Regular Meeting
I. Call to Order of the Regular Council Meeting by Mayor Mary Ann Horne
II. Roll Call: Clifford “Kip” Allen ____, Bob Cogan _____, H. Robert Cannell __, Jean Davis ____, Greg Lucas _absent _, Dennis Travis ____, Mayor Mary Ann Horne __ Manager Taras Jemetz _____, Solicitor Marsh _____; and Marie Lander, Assistant to the Manager _____.
III. Approval of Minutes
· Regularly Scheduled Meeting on November 12, 2007
Action: Motion to approve minutes
IV Approve AGENDA
a. Action: Motion to approve agenda
V. Public Participation –
A. Agenda Items –
B. Non Agenda Items –
1. Finance Committee/Pension Committee/ Negotiation Committee - Jean Davis Chair-
a. Authorization to approve bills paid November 12, 2007
Action: Motion to approve bills totaling $ 27,614.09
b. Authorization to approve payroll ending November 17 paid November 23, 2007 totaling $51,997.09
c. Pension Review meeting was held Nov 20th
2. Cable TV Committee – Dennis Travis Chair
3. Ordinance Review Committee – Jean Davis Chair
a) Ordinance 552 – LST – final reading
b) Ordinance 554 – Amending Rental Lease Tax Rate – final reading
c) Ordinance 555 – Homestead Act – final reading
d) Ordinance 556 – Realty Transfer Tax –final reading
e) Ordinance 558 – Real Estate Tax Levy – final reading
f) Ordinance 559 – EIT Amended rate –final reading
g) Groundwater Ordinance – in review
4. Personnel Committee – Robert Cogan Chair
5. Public Safety – Greg Lucas Chair
6. Recreation/Lake/Environment – Kip Allen Chair
7. Street, Buildings, and Grounds- Robert Cannell Chair
8. Committee of the Whole
Budget workshops Oct 17, Oct 24, Nov 5, Nov 19, Nov 28, Dec 5 – 6:30 pm
B. Solicitor's Report:
1.
C. Management's Report:
1. Manager Jemetz’s Report
2. Finance
3. Personnel
4 Emergency Management
5. EVFD
6. Police – Monthly Reports
7. Employee Safety Committee
8. Code Enforcement/Planning/Zoning
a) Public Notice Zoning Hearing Board - FYI
9. Public Works
10. Wastewater Collection & Treatment
11. Water System
D. Community Liaisons
1. EUP Liaison – Mary Ann Horne
2. Environmental Shade Tree Advisory Committee – Mary Ann Horne
3. Erie County Borough –volunteer as needed
4. Erie County Planning Liaison – Bob Cannell alt Manager Jemetz
5. EVFD Board Liaison – Bob Cogan
6. PLCM – Manager Jemetz & Kip Allen
7. PLCM Local Group – Dennis Travis alt Mary Ann Horne
8. Washington Township Liaison - Jean Davis alt Greg Lucas
9. Authority –Jean Davis alt Kip Allen
10. Watershed Association - Mary Ann Horne
E. OTHER OLD BUSINESS:
VIII. New Business
A. 2008 Budget – Adoption – See Resolution No. 24-2007
IX. Adjournment
2007 EDINBORO BOROUGH COUNCIL
7
PM; Nov 26, and Dec 10 beginning at 7:00 p.m., except for Dec 17th
at 4:30 p.m..
©Copyright December 2007