MINUTES OF MEETING BOARD OF COMMISSIONERS SPRINGFIELD TOWNSHIP

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1 MINUTES OF MEETING BOARD OF COMMISSIONERS SPRINGFIELD TOWNSHIP The Board of Commissioners of Springfield Township met in regular monthly meeting on Wednesday evening, November 8, 2017, at 7:30 PM in the Springfield Middle School Library for the purpose of transacting the general business of the Township. All members of the Board were present with the exception of Mr. Schaum. Mr. Harbison presided. Mr. Harbison asked everyone to join the Board of Commissioners in a moment of silent reflection honoring the service men and women who have placed themselves in harm s way in order to help preserve our safety. Mr. Harbison led the Pledge of Allegiance. Motion (Wilson-Maxwell) vote 6-0, dispensing with the reading of the minutes of the previous meeting and approving same as written and recorded in the official minute book of the Township. Mr. Harbison noted that Mr. Schaum was unable to attend this evening s meeting due to a business obligation. Mr. Harbison also introduced Andrew Freimuth, of the Wisler Pearlstine law offices, who was sitting in for James Garrity. Mr. Harbison acknowledged that the Board of Commissioners conducted an executive session meeting on November 6, 2017 at the conclusion of their regularly scheduled workshop meeting on that same date. The Board discussed a matter of litigation with the Township Solicitor. Mr. Harbison extended his appreciation for the pole workers, candidates and voters who participated in election day activities on the preceding day. Correspondence Mr. Harbison announced that the Board of Commissioners received a letter on October 19, 2017 from the MetLab Corporation. MetLab expressed its objection to the enactment of a local service tax. The letter states that at a time when businesses are struggling to contain costs to maintain competitiveness, the tax may create a burden that will offset any benefit. Mr. Harbison opened the meeting to public comment. No comment was received. Mr. Harbison, Chairman of Internal Affairs Committee, reported: Motion (Harbison-Standish) vote 6-0, to approve the October check reconciliation in the amount $1,409, and the November bill listing in the amount of $998,

2 Mr. Harbison noted that the 2018 budget will be presented as a part of his report this evening. He also provided details on the budget hearing and the budget adoption, both to be held on December 13, 2017 at 7:30 PM in the Springfield Township Building. Mr. Harbison read the 2018 Budget Statement. The statement noted that the Springfield Township Board of Commissioners is proposing a balanced operating budget for 2018 of $17,330,860 with a real estate tax rate of mills and an earned income tax rate of 1.0%. To summarize the impact on the typical taxpayer as a result of the 2018 budget projections, the taxpayer will realize a $32.10 real estate tax increase and a $3.19 refuse service fee increase. Mr. Harbison summarized the real estate tax rates from 2016 to the present. He noted that the 4.6% increase in real estate taxes is principally due to an increase in debt service related to the municipal campus renovation project, increased costs associated with employee contracts, contributions to the volunteer fire companies, street resurfacing activities and increased insurance premiums. The typical household in Springfield Township with a $175,400 property assessment will pay $ in real estate taxes in Copies of the budget are available in the office of the Township Manager and in the Township Library beginning November 9, It was also noted that the Township offices will be returning to 1510 Paper Mill Road after November 27, 2017 and copies of the budget will be available at that location following the relocation on or after November 27, Motion (Harbison-Standish) to enact Ordinance No. 952, an ordinance enacting a local services tax for The annual tax is levied and assessed commencing January 1, 2018 upon the privilege of engaging in an occupation within Springfield Township during the tax year. The rate of the tax is $52 annually and assessed on a pro-rata basis in accordance with provisions of the Ordinance. Mr. Harbison summarized the conditions by which individuals may be exempt from payment of the tax, including a threshold of $12,000 of earnings, disabled US Veterans, and members of US reserve components of the armed forces called into active duty. Mr. Standish commented that he is not a fan of taxes, and noted that the local services tax is limited to $52 annually. Mr. Standish noted that most Township residents working in surrounding communities are also paying a local services tax at their place of employment. If the Board of Commissioners does not enact the local services tax, there is an equivalent of $22 per household in real estate taxes or other revenues that must be sought. He believes that the local services tax is an opportunity for those who live outside of the Township to help pay for the services that they enjoy during the working day. Mr. Wilson endorsed the previous comments made by Mr. Standish and noted that there are exemptions for the payment of the tax for those who do not reach the income threshold. 52 of the 62 municipalities in Montgomery County, or 84% of the communities in Montgomery County, have enacted a local services tax. Mr. Wilson believes that since the tax is on wages, it provides a break for retirees against their real estate tax requirements. Since the Board of Commissioners is considering an incentive program for firefighters and EMTs, the estimated receipts of $168,000 will help pay for that incentive.

3 Mr. Graham indicated he was not in favor of the tax due to the undue burden placed on Township residents who also work in the Township who would be hit double by the enactment of the local services tax and their real estate taxes. He appreciates the value of the services provided but believes that the costs should be spread equally among all the taxpayers to pay for those services. Mr. Maxwell noted it is difficult to make a definitive decision on the local services tax but he understands the pros and cons of the enactment. He suggested that he would have liked more time to consider the ramifications of the tax. Mr. Dailey noted that he was in agreement with comments made by Mr. Graham and that to the extent the revenues are needed, the Commissioners should have the political courage to increase the real estate taxes accordingly. Mr. Dailey hoped that the anticipated annual real estate tax receipts from the Atria Senior Living development for both the School District and the Township might have assisted in additional revenues, however, there was a three year delay in the approval of the project. He suggested that the Board needs to consider means by which to build revenues, or must look at expenses associated with the budget. He noted that the School District and Township employees would be required to pay the local services tax, which may adversely affect costs to those two employers. He too suggested beginning discussions of the local services tax earlier in the year. Mr. Harbison explained that if the Township was to utilize the local services tax, the tax ordinance must be enacted in November in order to provide notice to the Commonwealth. Procedurally, he explained that the Board must decide the appropriateness of expenditures, and then decide the best means by which to pay for the anticipated expenses. He noted that the local services tax would be a shift from real estate tax revenues, and requiring those working within the Township to pay the equivalent value. The local services tax would be a relief in real estate taxes for senior citizens. Mr. Harbison explained that the first year revenues would be on three quarters of the year and would yield $168,000. The second year would be a full year collection or $224,000 in revenue. He noted that individuals who live outside of the Township would pay approximately $100,000 in 2018, $130,000 in 2019, which is a revenue provided the Township from outside sources. Vote on Ordinance No. 952: 3-3. Dailey, Graham, Maxwell opposed. The motion did not carry. Mr. Harbison stated that Mr. Schaum, Chairman of Public Works and Facilities Committee, had no report. Mr. Standish, Chairman of Community Development Committee, reported: Motion (Standish-Wilson) vote 6-0, to adopt Resolution No. 1439, a resolution urging the locally elected State officials to oppose House Bill 1620, a bill that eliminates local management of wireless communication tower installations. Both the Federal and State governments provide municipalities the authority to manage the public rights of way and to protect the public safety and character of their communities and the subject House Bill

4 would strip municipalities of that authority. Mr. Standish mentioned that the Board of Commissioners passed a Township ordinance last year regulating the installation of communications towers throughout the community. Mr. Harbison noted that he embraces the technology of wireless communications, but he believes the Township should have the right to maintain control of the installation of towers. Mr. Dailey, Chairman of Zoning Committee, reported: Mr. Dailey announced that the next meeting of the Zoning Hearing Board was scheduled for Monday, November 27, 2017 at 7:00 PM in the Springfield Township Middle School Library. Mr. Dailey summarized the Zoning Hearing Board Agenda. Mr. Dailey also thanked all who were involved in the dedication of the Henry Chiaramonte Park on Oreland Mill Road. He wished to thank Sharon Vecchione and the Springfield Township High School Interact Program, the Halligan family, Kerry Boccella of the Township Parks and Recreation Committee, and the Board of Commissioners. He noted that between 75 and 100 friends, family and community members attended the dedication. Mr. Dailey stated that some residents believe there were secretive activities taking place on the Township-owned Tank Car Corporation property in Oreland. Mr. Dailey inquired of Mr. Berger as to his knowledge of any secretive activity at the property. Mr. Berger indicated that BL Companies, the environmental firm hired by the Board of Commissioners to assist the Township through the Pennsylvania Act 2 process, was working on site. BL Companies was taking samples from within the buildings which were not sampled by the US EPA. Mr. Dailey inquired why the Township engaged BL Companies. Mr. Berger indicated that securing PA Act 2 approval from the Commonwealth would protect the Township from future environmental liabilities associated with past activities at the site. Mr. Dailey suggested, therefore, that the Board of Commissioners was taking actions to protect the residents against liabilities. He also inquired as to where the soils originated from that are being stockpiled at the Tank Car Corporation. Mr. Berger indicated that the majority of the soils came from the municipal campus renovation project and saved the Township approximately $140,000 in disposal costs to relocate the soils from the municipal campus. Mr. Wilson, Chairman of Cultural Resources Committee, reported: Mr. Wilson announced that during the month of October 2017, Springfield Township residents recycled tons of materials with a householder participation rate of 82.9%. The net cost for the month was $17, Mr. Graham, Chairman of Human Resources Committee, reported: Mr. Graham stated that in July 2017, the Board of Commissioners issued a Request for Proposals for professional engineering and architectural services for the: (1) evaluation of the existing swimming pools at the Flourtown Country Club, (2) conceptual plans for repairs or renovations to the swimming pools, and (3) conceptual plans for design of the swimming pools and related facilities. Proposals were due on August 18, The Township received

5 proposals from Wallover Architects, of Lancaster, PA; MKSD Architects, of Allentown, PA; and GLP Architects, of Glenside, PA. The Board of Commissioners met on two occasions with the respondents to the RFP to assess the qualifications of the respondents. Motion (Graham-Maxwell) vote 6-0, to engage the services of Wallover Architects pursuant to their proposal dated August 18, 2017 and amended October 23, 2017, as follows: Pre-Existing conditions analysis $ 8,465 Concept plans, repairs/renovations $ 5,295 Concept plans, new construction $12,735 Mr. Graham noted that the Request for Proposal only obligates the Township to pay the architect for the actual services rendered at any time during the project. He also stated that the lessee of the Flourtown Country Club has agreed to pay for 50% of the professional fees associated with the concept plans once the existing conditions analysis is completed. Mr. Harbison provided an explanation of the project and objectives of the anticipated work. Mr. Graham announced that through the expertise of Charles Carabba, Director of Parks and Recreation, and through the support of Mr. Graham s church, Carson Valley Children s Aid was able to join the Greater Philadelphia Basketball Association to provide activities for the children at Carson Valley School. He suggested that this effort will deepen the relationship between Springfield Township and Carson Valley School and he was pleased to be a part of this effort. Ms. Quigg, of Gravers Lane, asked for a clarification on the vote related to the local services tax. Mr. Harbison indicated that the 3-3 tie meant that the tax would not be enacted for the year Ms. Quigg also wished to confirm that the earned income tax of 1% was for residents and non-residents. Mr. Harbison responded in the affirmative. Mr. Harbison took the opportunity to thank the School District of Springfield Township for allowing the Township to utilize the Springfield Middle School Library for meetings during the municipal campus renovation project. Mr. Harbison stated that he looks forward to the opening of the new municipal campus and making the campus available to the community. There being no further business, the meeting was adjourned at 8:15 PM. Respectfully submitted, Donald E. Berger, Jr. Secretary

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