Chambersburg water rates to go up in 2019, property taxes wouldn't

CHAMBERSBURG – Consumers could be paying more for tap water in the borough next year.

The 2019 proposed budget for the would raise water rates about $9 for the year to a typical household in the Borough of Chambersburg.

Borough real estate tax and other utility fees would be unchanged.

The 2019 water rate increase is the second of three annual hikes. Each would add $9 a year to the cost for water used by a typical household. So over the span 2018 to 2020, the annual cost for water would rise $27 for a typical household.

The additional revenue is necessary to cover increased costs of operating and maintaining the water system and to pay for capital improvements, according to Borough Manager Jeffrey Stonehill.

The borough plans nearly $5 million in major improvements to the water system in the next few years – including a backup water vat at the drinking water treatment plant, a water main extension on Chambers Street and reducing waste aluminum discharge at the treatment plant.

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A typical household would see its monthly bill go up 75 cents to $15.75. The fee appears on monthly water bills as a one cent increase per unit (about 75 gallons). With council approval, the rate would increase from 13 cents per unit in 2018 to 14 cents in 2019 and to 15 cents in 2020.

The average water bill for residential customers across Pennsylvania is $32 a month, according to a survey of 35 utilities by GHD Engineering.

'Most complex budget in Pennsylvania'

Stonehill presented the 2019 proposed budget to borough council on Monday, Nov. 5. Council is expected to accept public comments on the proposal at 7 p.m. on Monday, Nov. 19, in council chambers.

The $15.2 million general fund would be 1.4 percent higher than the 2018 plan. The borough was able to absorb the increased costs of maintaining the fire and police departments, according to Stonehill. Personnel is to get a 1.9 percent wage increase in 2019 and the municipal obligation for pensions is growing.

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The borough levies a real estate tax of 30.5 mills with 27.5 mills of it dedicated to fire and police.  Three mills is dedicated to repaying a bond for recreational improvements.

The average single-family home in Chambersburg would pay $534 in borough real estate taxes for 2019, according to Finance Director Jason Cohen. State law exempts non-profits, schools, colleges, churches, charities and other government buildings from paying real estate tax.

Currently for every dollar of real estate tax that a borough property owner pays – 18 cents goes to the borough, 64 cents to Chambersburg Area School District and 18 cents to Franklin County. The borough and county taxes appear on the same bill. School taxes are billed later in the year.

For the tenth time in the past 13 years, the manager’s proposed budget includes no tax increase or change in tax rates.

Chambersburg utility rates remain some of the lowest in Franklin County and in Pennsylvania, Stonehill said. Rates would remain unchanged for natural gas, sanitary sewer, storm sewer, sanitation, parking and electric.

“Chambersburg Borough has the most complex budget in Pennsylvania,” Stonehill said. “Unlike every other town, including big cities, Chambersburg has over a dozen separate accounts because all the utilities are kept segregated from the other operations of the borough.”

Chambersburg has the largest borough budget in Pennsylvania. Among all municipalities in the state it ranks 13th. Philadelphia and Pittsburgh are No. 1 and No. 2. Carlisle has the 79th largest budget, Gettysburg 260th, Waynesboro 274th and Greencastle 712th.

Chambersburg is one of about 50 municipalities in the U.S to own both electric and gas systems.

The budget and an executive summary can be viewed at www.chambersburgpa.gov by clicking on the “Transparency” link.

Jim Hook,  717-262-4759

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