As he finished signing next year's budget into law, County Executive Chris Coons turned to retiring Councilman William Tansey, shook his hand and offered up his pen as a gesture of appreciation for eight years of service.
With some help from the electorate, it could be Coons' last hurrah too, and it wasn't lost on him as he reflected on the 2011 budget - his first that received unanimous approval from county council.
"We are in tough times and this is a budget we can afford while delivering the core services the public has grown accustomed to," he said.
Most notably, the $234.9 million spending plan was devoid of any property tax increase, something most regard as a no-brainer for a man seeking higher office (property taxes went up 25 percent this year). It also included cuts - most notably a second year of 5 percent salary rollbacks for all county employees, which trims nearly $5 million from the payroll.
But Coons and others acknowledged it wasn't tenable - or fair - to continue balancing the budget on the backs of employees and expressed frustration that efforts to create new revenue streams have not been met with success. The bulk of county revenues come from property and real estate transfer taxes, and in recent years the county has asked the General Assembly to authorize a new lodging tax, a emergency services surcharge on cell phones and a repeal of the first time homebuyer credit for homes over $400,000, all to no avail.
"We've been responsible, we've done our due diligence, we've cut where we can and we've raised when we've had to," said Councilman George Smiley (D-New Castle), who heads the council's Finance Committee.
Coons said he'd continue to work hard to lobby state lawmakers, and in the meantime would work to grow the local economy and constrain costs where possible, though nearly 75 percent of the budget is earmarked for the salary and benefits of the county's 1,587 employees.
In total, the proposed 2011 budget is 2.5 percent - or $6 million - higher than this year's, with major cost drivers including a $1.9 million increase in healthcare and pension costs and $1.6 million in debt service. To close a gap between revenues and costs, $7 million is earmarked to be used from the county's remaining $45 million in reserves.
An EPA-mandated sewer rehabilitation in Brandywine Hundred prompted a 4 percent increase in sewer rates ($10 for the average household) and rising electric costs mean another $10 increase, on average, to homeowners who live in communities with publicly owned street lights.
Council also approved a $73.4 million capital program, which includes $51 million in projects to be funded through temporarily available federal bonds that will allow the county to recoup half its interest payments.
