Even with a proposed 14-mill tax increase, Mercer council needs to find a way to cut the borough’s public safety spending by $60,000.

Council Tuesday proposed the tax hike in a $594,789 spending plan for 2001. If adopted Dec. 13, council would levy a 53-mill property tax.

A mill is $1 for every $1,000 in assessed property value; assessments are one-third of a property’s 1970 market value. At 53 mills, a property assessed at $10,000 would carry a tax bill of $530.

The tax hike is the second in two years. Last year’s 5-mill increase was the first in 12 prior years, said Debbie Scrucci, borough secretary.

Spending has exceeded revenue for several years, said Councilman Jeff Swartzbeck. The borough is expected to exceed this year’s $626,660 budget by $42,349. In 1999, spending exceeded the $540,174 budget by $149,587.

Unexpected expenses this year, such as overtime because a policeman is on disability leave, and sewer projects, resulted in deficit spending, said Councilman James Carnes.

Like most communities, Mercer will see a 25 percent increase in the cost of providing health-care benefits, Mrs. Scrucci said.

In its effort to trim $60,000 from the budget, council is looking at using other health-care insurers.

Despite the deficit spending, Swartzbeck and Councilwoman Sue Carter cast the only votes against the tentative spending plan and tax hike. Swartzbeck said a tax increase was needed, but 14 mills is too much of a burden on taxpayers.

"If we don’t increase the tax to 14 -- and we’re including a 5-mill road tax in that, it could be a problem for us down the road," Carnes said. The road tax will make up for lower state aid if it is needed for street projects, he said.

To pass the proposed 14-mill tax increase, council will need approval from a Mercer County Common Pleas Court judge to exceed the state limit on tax rate for general purposes. The proposed levy will exceed the ceiling by 5 mills.

If the 2001 spending plan is to balance, the police budget must be reduced. Council is discussing how that can be done with the department of six full-timers and one part-timer, the borough secretary said. One of the six full-timers is on disability leave.

Swartzbeck said he could see no other way of cutting the police budget other than cutting payroll, and that would mean layoffs.

The lion’s share of the budget cuts will have to come from the police, Carnes said. "We’re looking at layoffs, possibly two. Maybe more," he said.

"We’re up against it," Carnes said.