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NANTICOKE — Mayor Richard Wiaterowski released a $5.5 million general fund budget proposal on Wednesday that has no tax hikes and a 1 percent increase in revenue.

The mayor’s proposed budget for 2017 is $5,576,602 compared to $5,537,427 in 2016.

Wiaterowski’s proposal would keep the millage rate at 5.93. A mill is a $1 tax for every $1,000 of assessed value. The breakdown of millage includes general purpose millage at 4.75, debt services at 1.15 and .0194 for the library.

The council and department heads had input on the budget, according to Wiaterowski.

Wiaterowski noted that the city, which has a population of 10,465, is seeing a decline in assessed property values because of tax appeals, with a $2.333 million decline in this year’s assessed value.

Earned income taxes contribute to 43 percent of the budget’s revenue or $2,397,938.86 of the budget.

“Higher wages and a lower unemployment rate are resulting in a slight increase in tax income on earnings,” Wiaterowski’s introduction said.

The general fund contributes to 32 percent or $1,784,512.64 to the budget and the final 25 percent or $1,394,150.50 comes from code department revenue and miscellaneous reimbursements.

Expenses for the city continue to rise, the mayor noted. Per contractual agreements, salaries are increasing $54,017, which is down from previous years because the reduction of the police chief and code officer’s salaries as well as promoting from within to the city manager’s position.

The salary of the police chief, upon the death of William Schultz and the hiring of Tom Wall, went from $81,867 to $65,000, a savings of $16,867. The proposed budget reflects interim city Manager Donna Wall’s $4,000 health insurance buyout because she will be on her husband’s health insurance. She is married to Wall. Her buyout will save the city over $22,000 for the course of the year.

Wiaterowski expects the code enforcement office to have a difference in the favor of the city close $27,000 from 2016. The biggest chunk of savings is the salary for Code Enforcement department. There will be two people in the department forming the $36,000 salary which will save the city $10,600.

The council will have a first vote on the budget after a budget hearing 6:30 p.m. Nov. 16 is held in the council chambers. The second and final vote will come during the Dec. 7 council meeting.

Dignitaries attended the grand opening of the Commonwealth Health’s Nanticoke Medical Center at 4 East Main Street on Thursday. In photo, Senator John Yudichak, Andrew Gegaris, Jr., City Manager, Nanticoke; Nanticoke Mayor Richard Wiaterowski, and Cornelio Catena, CEO Wyoming Valley Health Care Systems. (Pete G. Wilcox|Times Leader)
https://www.timesleader.com/wp-content/uploads/2016/11/web1_Wiaterowski-1.jpg.optimal.jpgDignitaries attended the grand opening of the Commonwealth Health’s Nanticoke Medical Center at 4 East Main Street on Thursday. In photo, Senator John Yudichak, Andrew Gegaris, Jr., City Manager, Nanticoke; Nanticoke Mayor Richard Wiaterowski, and Cornelio Catena, CEO Wyoming Valley Health Care Systems. (Pete G. Wilcox|Times Leader)

By Melanie Mizenko

[email protected]

The council of Nanticoke will have a budget hearing 6:30 p.m. Nov. 16 in the council chambers, 15 E. Ridge St.

Reach Melanie Mizenko at 570-991-6116 or on Twitter @TL_MMizenko