Town hall organizers urged Ellwood City residents to oppose House Bill 2030 at a meeting on Thursday, May 3 in the municipal building. The event speakers believed the bill, which would potentially cut the borough’s budget by $1.45 million dollars, would be devastating to the community.
Visitor Stephanie Muntean acknowledged the borough has problems that need solved but feared the precedent of state legislation to control a municipality. “We have to control our own borough,” Muntean said.
The bill, sponsored by State Rep. Aaron Bernstine, R-10, New Beaver, will prevent the Ellwood City borough council from transferring funds from the Electric Fund to the General Fund. The bill passed the state house on April 17 and will head to the senate.
The meeting was organized by Dawn Santagata and former borough employee Mary Ann Viccari via the Facebook page Ellwood City Facts Matter. The two presented the nearly 85 attendees with information concerning the borough’s electric department and Bernstine’s bill while requesting residents write to senators and Governor Tom Wolf.
Bernstine, along with supporters of the bill, believe the legislation will prevent egregious spending by the borough while lowering electric rates and bring the electric department in line with the Pennsylvania Utility Commission regulations.
However, according to information presented by Santaga and Viccari, Ellwood City does follow PUC regulations and the loss of revenue from the bill would lead to loss of services, increased property taxes or a combination of both.
In order to make up the $1.45 million dollars constituting 26 percent of the borough’s budget, council would have to increase property taxes from 5.8 mills to 14.74 mills. Viccari said eliminating borough employees may backfire as the borough would be required to pay unemployment and may face unfair labor practices litigation.
Viccari also said the bill’s constitutionality is questionable based on Article III, Section 32 of the state constitution which states the General Assembly “shall not pass any local or special law regulating the affairs of counties, cities, townships, wards, boroughs, or school districts.”
One visitor asked if council had any intentions of bringing the bill to the Supreme Court and added “it might be a slap in the face to this gentleman [referring to Bernstine], but then again, so what?”
Council did hire a lobbyist to oppose the bill, but it is unknown what course of action will be pursued.
Multiple visitors questioned the purpose of the bill and some speculated it is a runabout way of eliminating the police department, which has come under fire from Bernstine due to officer salaries.
Speaking in favor of the bill, visitor Brandon Fisher indicated the borough’s budget exceeds what residents can afford but was cut off after mentioning the police department.
Please do not be fooled. The majority of those opposed to this bill are involved with real estate, either selling or owning. They aren’t concerned with anything other than property taxes being raised. You see, this bill will force these slumlords to pay their own bills rather than have it taken from the surplus Electric account that we, as residents, pay each month via over charged electric bills.
Did anyone notice this past winter our Electric bills were half, if not one third of what they typically charge for winter months? I know mine went from 350-400+ last year to 175-205 this past January. Do you think that was an accident? NO! It was not. THAT is exactly why we NEED Bill 2030!! PLEASE understand, we are not being charged for watts used, we’re being charged based on the Boroughs needs.
Ellwood City has a very successful history of scaring residents into submission, this is one more attempt. Don’t let them scare you into backing down. Those opposed are NOT concerned with your families welfare, they are looking out for their themselves. They want you paying their bills while they collect the rent.