Hampton Council debates referendum to provide option for tax increase

Hampton Township Council floated the possibility of adding a referendum to November’s ballot that would give them the option to increase the earned income tax rate.

While council members seemed to agree about the necessity of this change, they disagreed on whether the referendum should be voted on this November or in 2024.

Council member Richard Kernick even called it “borderline anti-democratic” to put it on the ballot during a non-presidential election year, when voter turnout is typically lower.

“If you really want to know what the Hampton residents feel about a subject, put that ballot referendum on the biggest year,” Kernick said during council’s May 10 meeting.

According to Christopher Lochner, municipal manager, this referendum would ask residents to repeal a section of the township’s home rule charter that limits its ability to establish tax rates. Home rule charters are essentially documents that define the government’s authority and limitations. In Hampton, all wage-earners pay a 1% tax that is shared equally between the township and the school district.

If this cap were removed, the township would have the ability to increase the earned income tax to raise revenues, instead of just property taxes. Multiple council members said they don’t have plans to change the earned income tax rate right now, but want flexibility in the future.

“If we do increase property taxes, as you know, that affects everybody in the township including the senior citizens who are on fixed incomes, whereas if we were able to do instead a small increase to the earned income tax, it would help the senior citizens and other people on fixed incomes to preserve their income, to preserve their earnings,” said Carolynn Johnson, council president.

Lochner added that the flexibility is needed as Hampton Township School District continues to raise property taxes.

Hampton Township School Board has proposed a 0.86-mill real estate tax increase for 2023-24. For a property valued at $170,950 — the median value in Hampton — the increase amounts to $147.

“If we know that’s going to happen, and we don’t have any flexibility, either — and we only can increase real estate property taxes — all we’re going to do is make that situation worse,” Lochner said.

“In regard to earned income, it hurts you once that very first paycheck. That’s it. That’s the only time it hurts you. After that it’s no big deal to you,” Lochner added. “Real estate property taxes kill you every year.… School districts are in a bad situation. There’s not an equitable funding cycle coming out of the state, and there’s not going to be.”

In Allegheny County, a municipality is required to pass an ordinance for the question to be placed on the ballot, according to solicitor Vincent Tucceri. Hampton must pass the ordinance by Aug. 8 in time for this November.

Johnson said she thinks the referendum should go up for vote in November, before Lochner retires.

“If they truly care about something, they will come out and vote,” she said about township residents. “If they choose not to do so, that’s on them.”

Prior to November, she said, there would be multiple town halls for residents to express their opinions, along with information distributed through the mail and online.

“ I would not want to put this on the shoulders of a brand-new township manager, which is what we would do if we push it out to 2024,” she said.

Council member Bethany Blackburn said there’s plenty of time to hear community feedback before Aug. 8.

“If we’re really committed to having this pass, I think we should do that with Chris Lochner on our team,” she said.

‘There’s a field crisis’

Council also discussed the township’s proposed Comprehensive Recreation, Park and Open Space Plan, which it will vote on during its May 24 meeting. The plan, which spans 10 years, seeks to protect Hampton’s natural resources, upgrade accessible restrooms, educate residents and businesses on conservation efforts, and more.

Some community members said they believe building a multipurpose turf field and improving scheduling processes at current township fields should be a top priority.

Hannalore Merritt said field scheduling for youth sports has become increasingly difficult in the township, especially at Meadow Field. In October, the township started working with Merritt’s husband, Zach, who is the vice president of the Hampton Youth Lacrosse Association, to find space in the Hampton Community Park for practices and games instead of the group pursuing the development of a multisport field facility.

“I think it’s only fair to assume that the township would assure any other program that was looking for field space, that they would work together both on finding the field space and using the money that these groups have,” Hannalore Merritt said. “They have cash. They have plans to go and rent private field space. We should utilize that as the community to take the remaining space that we have and develop it for equitable and open use with a lot of different sports programs.”

Council member Julie Fritsch said “It’s not lost, I don’t think, on any of us that there’s a field crisis.”

She said council members have talked about forming a youth sports board to help bring various athletic associations and township officials together to discuss scheduling.