Seneca proposed budget raises property tax

A rare property tax increase is in the making at Seneca.  The city council last night gave first reading to new budgets.  Seneca’s next general budget is proposed at $10.2 million and would reflect four new tax mills.  Mayor Dan Alexander and other officials say there has been only one other property tax increase in their city in the last 20 years. According to Joel Seavey, clerk-treasurer, the increase would add an extra $16 dollars to the bill for a home assessed at $100 thousand dollars.  Traditionally, Seneca treats the abundant revenues from retail electric power sales to help balance general spending, but the mayor, city administrator Greg Dietterick and outside auditor Mike Stancil say it’s time for Seneca to stop increasing the annual Light and Water transfer to city government.  The new transfer is to amount to $3.6 million.  Without the property tax increase, Alexander estimates the transfer would increase to $3.8 million.  First reading for the general budget passed 5 to 4 and is subject to a second and final reading next month.  One other increase is included.  In the new $29 million utilities budget, a five percent increase in sewer rates is proposed for the second year in a row.  Bob Faires, utilities director, says the additional revenues are designed to help offset the costs of replacing the city’s seven aging lift stations.