Beaver County Commissioners / file photo by John Paul

Beaver County taxpayers lost out on approximately $1.2 million in potential savings during a recent bond refinancing because the county’s credit rating had been downgraded, according to county officials.

County Commissioners refinanced $64.8 million in bonds this week as a cost savings measure to help balance the county’s budget. Although the refinancing will reduce required debt payments by approximately $2 million this year and $1.2 million next, the overall savings are far less than they would have been as a result of the county’s lowered credit score.

The financial services agency Standard & Poor’s (S&P) downgraded Beaver County’s credit rating at the end of September from A- to BBB+ because the county’s ongoing expenses continue to exceed its ongoing revenues. S&P had similarly downgraded Beaver County last year due to its “persistent deficits.”

Although the Board of Commissioners voted last year to raise property taxes by 17%, the increase was not enough to properly balance the county’s budget. The Board had committed at the time to a series of governmental restructurings they said would make up the difference, but Commissioners ultimately failed to implement any of the changes.

The Board’s failure to execute their stated plans led to a continued “structural imbalance” in the budget that was a deciding factor in S&P again lowering the county’s credit worthiness rating, resulting in what officials say was loss of about $1.2 million in savings from this week’s bond refinancing.

County Commissioners are currently in the process of crafting the 2018 budget.

John Paul
John Paul is the founder of the Beaver Countian. He reports full-time for the site, specializing in investigative journalism with an emphasis on public corruption.

111
Reader Comments

avatar
Photo and Image Files
 
 
 
Audio and Video Files
 
 
 
Other File Types
 
 
 
51 Comment threads
60 Thread replies
0 Followers
 
Most reacted comment
Hottest comment thread
38 Comment authors
RavenJohn Q TaxpayerGeorgiesgunsValdamirjaacee Recent comment authors
  Subscribe  
newest oldest top voted
Notify of
Phil Hammerstein
Guest
Phil Hammerstein

Taxation is theft.

Pam Jones
Guest
Pam Jones

Really? Why is taxation theft? Do you drive on public streets, avail yourself, when needed of public safety personnel, educate your kids in public schools, or let anarchy reign? Because without taxation none of these things are possible. I guess every road could be a toll road, only kids who could afford private school could be educated except what the parents could teach at home, and we could just count on everyone playing nice with each other so we don’t need public safety and houses could just burn if there is an accident. Because taxes pay for all of that. And there is no other way. I agree that taxes should be carefully managed and they are not always but taxation is not theft.

sezme
Member
sezme

taxes are necessary.. but why is it the PROPERTY OWNER WHO ALWAYS PAYS??!! all i am asking for is to make it FAIR and not always stick it to the homeowner every time. like maybe raise the sales tax? tax shell? haha. or make all those out of town worker making 80 grand a year pay for the privelege of working in our county? obviously a budget ain’t gonna happen, with every politicians extended family on the payroll. look in the BC times at the section about the BOND issue, and the power to raise taxes to pay for them…

arealregularguy
Member
arealregularguy

Phil….are you ready to pay when the fire department shows up to your house or when the snowplow clears your street of the latest snowfall? That is what your taxes help pay for!

Valdamir
Guest
Valdamir

Something like a large government’s credit rating being lowered takes a few years of poor governance so I’d say it is all the fault of Tony Amadio.

rick
Member
rick

Our Commissioners need to get all Departments to downsize.

Marvin
Guest
Marvin

Starting with ommissioners! We don’t need to pay a chief clerk and a financial administrator. In counties our size one person does both. We’re paying over 200k for these 2 people! Couldn’t be much work at commissioner level if Egley can take off to go to Washington DC with the Penguins. Are any Allegheny County officials going?? No!! Madame “ I’m so important” feels she should be there!

John Q Taxpayer
Member
John Q Taxpayer

It’s time to get rid of friends and relatives that are not needed and shut down county agencies that are of no use. Review all county contracts such as custodial services, copy machine services, anything you can trim the fat. Everyone that is left, take a pay cut. Keep those Sheriffs cars parked at the courthouse.
Great job Commissioners, give yourself a raise.

Debbie Russen Sovich
Guest
Debbie Russen Sovich

And guess where they are going to get the money from. Another 17% increase in property taxes? Where do fixed income people go to get an increase in their income?

Linda Adinolfi Solecki
Guest
Linda Adinolfi Solecki

Property taxes are determined by the School Board.

Debbie Russen Sovich
Guest
Debbie Russen Sovich

The county tax is determined by the county commissioners. The school tax is determined by The School Board.

Gar Kovacevic
Guest
Gar Kovacevic

Explain fixed income please.

TAX TAX TAX
Guest
TAX TAX TAX

Really?!

jaacee
Guest
jaacee

Are you that dumb???

Debbie Russen Sovich
Guest
Debbie Russen Sovich

Retired.

Georgiesguns
Guest
Georgiesguns

I work and make the same year to year , maybe a very tiny raise … I think I am on fixed income too.

Carol Dzvonar Prosper
Guest
Carol Dzvonar Prosper

Fixed income is also Social Security which is peanuts

Debbie Russen Sovich
Guest
Debbie Russen Sovich

.3% increase in 2017 in Social Security income which was wiped out by an increase in Medicare. That is .3% not 3% which ultimately equalled zero increase but Beaver County Tax went up 17%. Oh and Sandy Eagley remodeled her office.

sezme
Member
sezme

all the time the cops spend busting bars for ” illegal gambling devices” like poker machines , strip tickets, etc…why not slap a $1000 a year tax on each machine and legalize ’em? people drop HUNDREDS a night in those machines. and its no loss to the PA lottery…think of the hundreds of thousands this county–hell, the whole fn state– could make!

Dan Sainovich
Guest
Dan Sainovich

Phil- taxation is not theft. How does the government raise revenue to pay for services that you and I both use?

There can be debate on the amount of taxes or use of the revenue but your statement is ridiculous.