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New Kensington plans to raise taxes 3 percent |

New Kensington plans to raise taxes 3 percent

Francine Garrone
| Tuesday, November 27, 2007 12:00 a.m

New Kensington residents could be facing a 3 percent property tax increase next year.

If the city’s tentative budget is approved unchanged next month, it will include the first property tax increase since 2004.

In 2005, council actually cut taxes by 3 percent, or 0.8-mill.

Council approved the $7 million 2008 tentative budget Monday night by a vote of 4-0. Councilman Donald Bowers was absent.

The current millage of 26.24 is set to increase to 27.03 mills, which is about a 0.8-mill increase, according to City Clerk Dennis Scarpiniti.

The budget is up about $144,000, or 2 percent, from the current year.

Scarpiniti said the new millage will be broken down and distributed in three ways.

About 1.6 mills are slated for debt service, 25 mills for the general purpose fund and 0.44-mill for the library.

Mayor Frank Link cited several reasons for the millage increase. They include an increase in service costs and business expenses.

Link said the cost of doing business is steadily rising, citing the price of gasoline and heating.

Additional Information:

About the tax hike

Here’s how taxes would change on a house in New Kensington with an assessed value of $20,000 in 2008:

Old tax rate: 26.24 mills.

New tax rate: 27.03 mills.

Old tax bill: $524.80.

New tax bill: $540.60.

Tax increase: $15.80.

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