Somerset County Commissioners hold the line on taxes for 2023

Somerset County Commissioners have opted not to raise taxes in the 2023 spending plan. Instead they will balance the budget by using $3.5 million from the general fund carry over and $3 million from the operating reserve, said county finance director Rebecca Canavan.

The county property tax rate remains at 13.36 mills.

The commissioners unveiled the county's $55.8 million spending plan for 2023 to reporters Wednesday. The spending plan represents a 4.6% increase over the 2022 budget. The proposed budget is scheduled for adoption by the commissioners at a meeting Dec. 20.

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The county's budget process is fluid. "We work on the budget everyday. And, it is not just a one-person effect, everyone has to work on it, even the offices have to do their part," Canavan said.

The spending plan includes a cost-of-living raise for county workers of 3.5% or $1,000, whichever is more.

Within the spending plan, the largest cost to the county is personnel. There are currently 323 full-time and 128 part-time (including tax collectors) employees. Salary and benefit costs total $22,615,971 in the 2023 spending plan.

Much of the county's personnel costs are driven by collective bargaining agreements. The contracts are for four years. Currently, 183 employees are represented by American Federation of State, County and Municipal Employees and 27 employees are represented by the Somerset County Court Association of Professional Employees. Both of these unions contract is up Dec. 31, 2023. The third group of 40 employees are represented by United Mine Workers of America (jail) and they are in negotiations. The contract with the United Mine Workers of America expires Dec. 31 of this year.

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The county is not sure what kind of increase may occur after the negotiation, but hope that contract will be decided before the final budget up for adoption on Dec. 20, Canavan said.

There are 201 elected and non-union workers in county government, made up largely by management and mid-management positions.

"We try to keep it in the range," said Commissioner Pamela Tokar-Ickes about the salaries and cost-of-living increase not driven by union contracts.

"Our fiscal department gives us the different impacts to the budget. Depending on how much that we give the non-union employees. We try to treat everyone fairly, and keep everything across the board as equal as we possibly can," said Commissioner Colleen Dawson.

The struggle with the issues of recruitment and retention is a big reason for the commissioners' decision to give those employees the 3.5% increase, Tokar-Ickes said.

Benefits

Commissioner Gerald Walker said that often the county's employee benefits is equal to their paycheck and it helps with recruitment and retention.

Since 2004, the county has contributed $31.4 million in general fund dollars of the Annual Required Contribution to the County Pension Plan. By law, counties are required to maintain a defined benefit pension plan for county employees. If the pension fund investments declined because of the market, the county must make up the difference with general fund money. For 2023, the pension plan is for $2.2 million.

"When an employee leaves here he or she will know how much they will make from the time they retire until their deaths (with a defined benefit pension plan)," said Tokar-Ickes.

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Additionally, the county's health insurance program for employees has increased. From 2019 to 2023 alone, premiums have increased 32.1%. To help reduce the health costs, the county has implemented wellness programs, cost containment efforts and cost sharing, Canavan said.

Where the money is spent

The largest percentage of expenditures support by departmental functions are for judicial-related and administrative functions, $24.2 million and $9.9 million, respectively.

Judicial related components include court administration, magisterial district justices, district attorney, sheriff, clerk of courts, prothonotary, register of wills, probation, day reporting center, child placement, jail, child custody/visitation, coroner and child advocacy.

Administration costs includes the commissioners' office, fiscal, human resources, planning, entrepreneurial & innovation, record of deeds, assessment, treasurer, tax claim, county auditors, elections, maintenance, public defender, solicitor, information technology, central purchasing and general services.

Where the money is coming from

Real estate taxes provide for 44% or $24,552,079 of the budget, closely followed by intergovernmental funds (state and federal funds) at 41% or $23,042,134.

The top general fund dependent departments in 2023 are the following: County Jail at $3.9 million, retirement at $2.2 million, maintenance at $2.2 million, Children & Youth Services at $1.8 million and adult probation at $1.3 million.

The reasons for the conservative budget is the concern for the county residents and facing rising prices. On Wednesday they have to reach deeper into their pockets to pay for Thanksgiving dinner, Tokar-Ickes said.

"We provide services and programs. Prominently you can see from the budget we are people. Salary and benefits are major in developing our budget and keeping that on track," she said.

"We are always looking at new ways to do things. Because county government is always changing," she said.

The propose budget can be reviewed by the public on the counter at the commissioners' office. It can be seen on the commissioners' page on the county website at www.co.somerset.pa.us beginning Wednesday afternoon.

This article originally appeared on The Daily American: Commissioners hold tax rate for 2023