Parking increases possible in Lewes

Lewes Mayor and City Council are considering rate increases at the two public beach parking lots to make up a portion of a $150,000 budget deficit. 

By increasing the hourly rate from $1.50 to $2, the city could generate an estimated $90,000 annually. Though not as definite as the beach parking lots, council is also considering a 25-cent hourly increase to downtown parking meters, which would bring the hourly rate to $1.25 and generate an estimated $40,000 annually.  

Though an increase to parking meters may cover most of the deficit this year, Mayor Ted Becker said, the city needs to commit to finding new sources of revenue as the city’s budget has increased to just over $6 million.  

“Whatever we do here to make up this deficit, we as a group have to agree that we’re going to take a serious look at our revenue streams in the first half of the next fiscal year,” he said. 

City Manager Paul Eckrich said there really isn’t a single big-ticket item that’s driving up expenditures. Little items throughout the budget add up, he said. 

Some of those items include an additional part-time employee in the building department, an anticipated 10 percent increase in healthcare costs and annual pay increases for civilian staff. Eckrich said the city is also negotiating the latest police contract with the International Brotherhood of Teamsters. 

In addition to parking increases, city council discussed a variety of other increases and cuts in the budget at its March 9 meeting, including a minor property tax increase. Property taxes were last increased in 2011.

Deputy Mayor Fred Beaufait is reluctant to raise taxes.

“It’s an unpleasant subject to have to bring up,” he said. “We need to make sure what we’re spending money on warrants that move. I don’t want to be seen as spending money on things we could do without and raising taxes to accomplish that.”

Becker said a minor increase may be understandable for residents. 

“I feel very strongly that a lesser tax increase is a much more palatable thing,” he said. “I know in 2005, when we did the Bond Bill, we raised taxes 50 percent. I think that was a very difficult swallow for people.” 

As far as cuts that could be made, Beaufait suggested the city could change its position on the future use of its portion of the former Lewes library, now known as the Margaret H. Rollins Community Center. When city council agreed to lease the building to the Lewes Historical Society for a museum, the city held onto the west wing of the building for city use and to provide a place for nonprofit organizations to meet.

If the city gave the entire building to the historical society, he said, the city could save $75,000 on renovation costs.  

“I think it’s a waste of money to refurbish that place,” he said. “The city is not going to use it but once a year, if that much. And considering our budget situation, I don’t see that we have an obligation to the nonprofits to provide them a place to meet.” 

Councilwoman Bonnie Osler disagreed.

“We went through a long process to decide what to do with the old library, and we voted as a group as to what to do,” she said. “What we agreed to do was to continue providing a place for nonprofits to meet, which, as far as I know, the city has done for decades. It’s not a new thing we took on.” 

She said the budget meeting was the wrong time to bring up the topic, as only one member of the public was in attendance March 9. 

“If you want to examine this, I would suggest that we do it at a regular session and give the nonprofits notice,” she said. 

Osler’s ideas for cuts were in the capital improvements budget. She continued to criticize the proposed Transportation Alternatives Program project that would add pedestrian and bicyclist improvements to Savannah Road from the Lewes-Rehoboth Canal bridge to the beach. The project carries a price tag of $20,000 for design in the upcoming fiscal year and $130,000 for construction in the next fiscal year. An additional construction phase could cost another $130,000 in the future, but it has not yet been budgeted. 

Including the proposed pedestrian project, the city has $1.1 million dedicated to capital improvements in the upcoming fiscal year, and $1.075 million dedicated for fiscal year 2018-19.

Lewes’ budget year runs from April 1 to March 31. Budget talks continue at 1:30 p.m., Thursday, March 16, at city hall.