Ok, times are tough. Every day brings news of a new business closing...for example,just this afternoon I saw a roving mobile billboard announcing Jack Kellmer Jewelers' demise...after 70 years they are going away - and that will leave a hole in Lower Merion as they have a business in Haverford on Lancaster Avenue.

So what do I see today that should give Lower Merion residents pause for thought? Another tax increase. Just another...you will be told it's "only $25". Define only if you are a single parent struggling to keep a roof over your head and pay your bills. Define only if you are a senior on a fixed budget coming to the realization that you won't be able to end your days in the municipality where you raised a family and lived your life because only $25 means a LOT given the cost of living, healthcare, etc.

Normally, I stay out of the budget nonsense, but in these economic times, to not take a peek at this issue is nonsense.

Check out the first paragraph of the tax increase press release:

The 2009 Lower Merion Township Proposed Budget, which is available for review at all six Township libraries as well as the Township Administration Building, recommends a +2% Real Estate Tax (RET) increase. “For the average single family detached home assessed at $363,000, the proposed Township RET would increase approximately $25,” stated Dean Dortone, Chief Financial Officer. “The typical homeowner’s Township RET bill would be approximately $1,336, with the proposed increase adding approximately $500,000 in Township RET revenue.”

The press release goes on, stating:

“Our Township staff presented some creative options to help trim costs; however, to arrive at significant reductions the 2009 Budget proposes the elimination of seven full-time and three part-time positions," noted Doug Cleland, Township Manager. The 2009 Proposed Budget calls for a total full-time equivalent (FTE) workforce of 495 employees, which is 11 FTE employees less than 2000.

Here is some of what is being cut (I had a giggle over magnets - who knew?):

Reductions (to $10,000) for Township contributions to several outside agencies (PATV, Volunteer Medical Service Corps of Lower Merion and Narberth, and ElderNET) and a reduction (to $5,000) for Township contribution to Riverbend.

· Elimination of various consulting services for Building and Planning, recycling, and General Codes Publishers.

· Combining the annual recycling education brochure and refuse collection schedule with the mailing of the Information newsletter; elimination of the annual recycling magnets

· No fee rate increases for the Township Solicitor, Township Engineer, Township Treasurer and Labor Counsel.

· Base wage increases to management and non-union employees at a rate 1% lower than typically provided in comparison to union employees of the Workers Association (WA) and Fraternal Order of Police (FOP).

So a couple things strike me and wondering why is it we have never had an accounting of ALL THOSE CONSULTANTS and what they cost. Like our gal Midge, and everything else Ardmore? Whose poor decisions are Lower Merion residents paying for? How much have we already paid for? Wouldn't you like a dollar for dollar accounting of at least the last decade of Lower Merion Township expenditures? (We didn't get here yesterday, after all...)

How much did Lower Merion spend defending plan A and plan B before SAC and a few helpful commissioners with a higher sense of purpose defeated the concept of eminent domain?

How much money was wasted on outside consultants, outside PR, etc? A few million? A couple million?

And speaking of consultants, why is it we are wasting money on a consultant for a river trail that might never happen because that consultant probably has not really done his homework?

Consultants, consultants, consultants. Marcia, Marcia, Marcia. How much was spent in Bryn Mawr? And if they are cutting back on funding things why fund a half baked BID (Business Improvement District) for Bryn Mawr possibly run by those who could not even run the Bryn Mawr Business Association? That would be pennies saved, not to do this at this time, correct?

What is the township's expendidture over dog parks, even in a trial run? Why not have that be subscriber funded, but then again, how are they ever going to know who has a permit or not?

In a time where many have neither jobs nor healthcare, are moving into homeless shelters when they lose their homes and are abandoning their pets, how can Lower Merion raise taxes? Do they even HAVE TO raise taxes? I hear that might be a "no", but perhaps the majority is so busy being partisan, they aren't listening to the minor team?

When it comes down to the budget in Lower Merion, while some commissioners seem to be working like dogs for a middle ground all residents can live with, others just seem to be playing politics and is that o.k. with all of you out there?

Do you have thoughts, questions, concerns? Well in addition to encouraging you out there to attend the public hearing November 19th - which incidentally (of course) will ALSO be the night that there is the public hearing on re-zoning of Suburban Square (which by the way I think people should go and STRONGLY object to Kimco supersizing the Ruby's lot, ok?), you should also consider attending the Finance Committee TOMORROW on Wednesday, November 12th. OF COURSE in true stack the meeting fashion, tomorrow is also the Ardmore update in the Economic Revitilization Committee, and an interesting conditional use hearing on what many assumed to be a legal use - a shop of sorts on Avon Rd in Bryn Mawr where the road was private, and the long awaited airing of Rockhill Road...is O'Neill going forward, stalling, or asking for more and if he's asking for more should he get it in uncertain economic climates where most developers are hiding under their desks? Should O'Neill (for example) get a waiver of certain fees in a week when Lower Merion residents are getting a tax INCREASE? Does that seem fair? Is now a foolhardy time to go forward with a plan that keeps changing considering the other issues this developer is facing as a result of that Conshohocken fire?

Actually, tomorrow's meeting is quite simply going to be brutal...sorry to get off the topic, but there is little chance of this meeting ending at a decent hour - even that dumb ass sign ordinance is back. Other municipalities have dumped discussing such an ordinance because of the free speech/Constitutional implications which simply can't be ignored and other municipalities saw the handwriting on the wall and it said potential law suit worthy, so remind me why we are wasting resources including probably money on this? Ok in a meandering kind of way it brings me back to the topic at hand...THE BUDGET and PROPOSED TAX ICREASES.

So, do I have a group for you if you are interested in responsible budgeting in Lower Merion. The group is called Lower Merion Citizens for Responsible Budgeting (CRB). They are fiscally savvy and have dug into a topic which is not super exciting until you hear "tax increase", and CRB sees Lower Merion's future this way if something doesn't give:

LMT Real Estate Tax Increase Forecasts - July 23, 2008
If the growth in spending trend is not changed, and the board maintains its general fund balance at a minimum of 15-18 percent (as is required by our new reserve fund policy), the projections forecast annual real estate tax increases in the range of:

Year Tax Increase

2009 2.0 %

2010 12.2-18.4%

2011 5.5-5.6%

2012 5.0-5.4%

Source: Lower Merion Township Commissioners, Mainline Life, July 23, 2008

Lower Merion Township Real Estate Tax increases 2003-2008
Year (mills) Percent Change Current
Tax Rate RET
Revenue
2002 2.62 0.0 $18,090,000
2003 3.2 22.10% 22,310,000
2004 3.34 4.40% 23,533,000
2005 3.47 3.90% 24,533,000
2006 3.47 0.00% 24,805,000
2007 3.54 2.00% 25,572,000
2008 3.61 2.00% 26,337,000
Cumulative increase 2002-2008 = 46%

Can you say OUCH? Why is this happening? CRB blames a lot of it on ever increasing expenditures. I wonder if they have an answer to my question of at what cost comes the AAA bond rating every year?

Dave O'Connell, head of CRB sent out this informative update today which he is allowing me to put out there in it's entirety:

Share this email with your neighbors!

Citizens for Responsible Budgeting
www.lmcrb.org
Nov. 8, 2008

Greetings!
Since our last alert, we have received many requests for a summary of the Commissioner Comments on fiscal matters at the Gladwyne Civic Association's Annual Meeting on October 28th. Please read below for the summary and for statistics on the Township's fiscal situation. For recent news on our web site:
Click here for Recent News on lmcrb.org

For Recent Comments on lmcrb.org:
Click here for lmcrb.org commentary

Three Commissioners Remark on Budget Issues

Commissioner Mark Taylor remarks mostly were not budget related, but he did state that we (The Township) are in difficult times. He did not say what, if anything, the Township should do about it.

Commissioner Jenny Brown commented extensively on the Budget process. She explained:

Many Commissioners appear to live in a fantasy world and refuse to acknowledge the reality of the current financial crisis, She mentioned that one Commissioner remarked that we need Capital Improvement projects to" keep our Township employees busy",and every $10,000,000 the Township borrows adds $600,000 to 700,000 of annual debt service to the budget, $700,000 in new budgeted expenses adds approximately 3% to your real estate taxes...Given the current financial crisis she believes we should postpone capital improvements that are not absolutely necessary, The Township is proposing beginning the spending for $23,000,000 in library renovations ($5,000,000 for 2009).

Commissioner Lew Gould spoke about the mounting combined debt from the Township and the School District:

The Township currently has $94,000,000 in long-term debt,The Township has proposed $30,000,000 more in capital improvements over the next two years, The School District has $250,000,000 in long-term debt and is planning to add $106,000,000 more in 2009, Combined debt will exceed $450,000,000,

Township Fiscal Statistics
The Township's General Fund Revenue and Spending will be approximately $52,000,000 for 2008:

65% pays Employee Salaries, Health Care and Pensions,14% (and growing) goes to service DEBT,
Since 2002, Real Estate Tax Revenue has increased 46%, and spending has risen 40%, and real estate taxes have increase 36%, If you remolded your home, added on, or tore down to start over, your taxes have gone up even more, ALL Township employees salaries grow between 4-5% every year, The Township Manager's salary is approximately $175,000 per year, Lower Merion has six libraries (liberal Boulder Colorado has two with 50% more residents than Lower Merion), The Township currently has $39,000,000 to $40,000,000 million in the bank! (This is before they get the $10 million from the recent bond issue).

Citizens for Responsible Budgeting Conclusions
Combined government borrowing in Lower Merion may be outstripping residents ability to re-pay the debt,
Combined government debt will push real estate taxes to the point that many people will not be able to stay in their homes, Lower Merion needs a dramatic change in fiscal policy that places an emphasis on spending restraint and fiscal descipline, rather than the current business as usual real estate tax hikes.
Please keep your contributions coming. CRB appreciates all that you do!

Thanks again,

David O'Connell

Intrigued? Check out CRB at www.lmcrb.org and get on their mailing list by following this link:
http://www.lmcrb.org/docs/members.html

Carpe diem people! From taxes to free speech sign ordinance issues to student housing and development issues, get involved in Lower Merion if you live in the township.....this is no time to sleep.

And my final thing? Please support LOCAL, INDEPENDENT businesses in these trying economic times...you'll be glad you did...and don't forget your local newspapers are local businesses too!

Be vocal, shop local, get involved.

Soapbox done.