Chester County Real estate news at a glance – week of 9/28/09
West Pikeland officials eye solution to sewage issues
West Pikeland Officials presented a new potential solution to the township’s sewage problems during a special meeting Monday night. Officials have been investigating whether to use the Windolph Knolls area as a public sewage treatment facility, but on Monday Township Manager Steve Ross and David Linahan, a private engineer hired by West Pikeland, discussed the potential expansion of the facility already in place in the Twin Hills neighborhood. The need for a public sewer alternative stems from outdated septic systems being utilized in the Pickering Estates area located east of Route 113 and south of route 401. According to various residents, sales of homes in this area have been affected because their current systems cannot pass a proper septic inspection. Furthermore, the soils will not allow the septic systems to be updated and public sewer appears to be the only solution left, said Linahan. The problem was discovered during two separate surveys in the last six months; one was a mail-in survey to residents and the other was a walking survey done in conjunction with the Chester County Health Department.
Source: Daily Local; 9/23/09
City of Coatesville’s new finance director discusses her role
After almost a year without a finance director, City Council recently approved the hiring of Stacy W. Bjorhus to take on the role. City Council unanimously approved the hiring of Bjorhus in late August. Her first day was Sept. 14. Part of Bjorhus’ role will be to review and confirm policies and procedures in place in the finance department. The department consists of five employees, including Bjorhus. “My ultimate goal is make sure all finance functions are followed for a government entity,” Bjorhus said. “I plan to bring the finance department where City Council and the city manager want it to be … and to bring it up to code completely.” The city has technically been without a finance director since October 2008.
Source: Daily Local; 9/24/09
Easttown facing $1 million deficit
Easttown is projecting a 2010 operating budget with a $1 million deficit, and one tough decision the township faces will likely be the implementation of either a real-estate tax increase of as much as 26 percent or an earned-income tax. With revenue streams only trickling and not expected to regain their flow quickly, administrators say that they have to find new sources of revenue for next year’s budget. In a municipality that is almost 100 percent residential, there aren’t a lot of options, officials say. While raising the real-estate taxes is probably more “democratic” because all property owners are affected, a major drawback is that it would have a greater impact on the poor, elderly and those on fixed incomes. If Easttown were to implement an earned-income tax, as a vast majority of Chester County municipalities have already done, residents who work in municipalities that have an earned-income tax would instead pay theirs to Easttown. One of the causes of the budget crisis is the township’s real estate transfer tax earnings, which applies every time a piece of property is sold. The tax accounts for about 18 percent of the township’s budgeted revenue. For 2009 the township budgeted $750,000 of income from the tax. Through August, that revenue totaled $380,365. Transfer taxes used to sometimes bring in as much as $100,000 per month; this year, some months have produced less than $10,000.
Source: Main Line Suburban Life; 9/23/09
West Chester Council settles on 2-story expansion for W.C. police
At least one big decision regarding the West Chester Police Department headquarters expansion has been made: It will be two stories tall. Borough Council voted 4-2 Wednesday to proceed with a two-story expansion. But council members could not decide which architect to hire to design the expansion. Council members decided to put off architect selection until next month. The vote to build a two-story police expansion was actually a vote to eventually hire an architect to design an expansion that would cost $3.3 million and be two stories. The borough’s current cost projections indicate a two-story expansion is likely to cost this amount. Council members said, however, that if the projected cost of the two-story expansion rises above $3.3 million, the two-story expansion plan could be shelved.
Source: Daily Local; 9/25/09
Downingtown Council in court over Kardon park
The two sides in the battle over the future of Kardon Park sparred in Orphans Court Wednesday on issues ranging from whether the borough’s plans to sell a portion of the park had been properly advertised, what standard the judge should use to decide the case, and whether other options for keeping the land as a park had been considered. Judge Katherine B.L. Platt is hearing the borough’s request to clear title to the area of the park that the borough wants to sell to a housing developer that has proposed putting a mixed residential and commercial development on the property. In exchange, the borough would get an estimated $8 million, an upgrade of the remainder of the park, and a spur to its revitalization efforts in the downtown area. Borough Council has granted conditional-use approval hearings for plans for the property from J. Loew & Associates and Progressive Housing Ventures, who want to build 305 homes and a commercial center with 40 upscale apartments on the acreage that straddles Downingtown and East Caln. In its petition, council states plainly that the park redevelopment would have various benefits to current and future residents that outweigh leaving the entire property as it stands.
Source: Philadelphia Inquirer; 9/23/09










