City council officially approved a 2007 operating budget that contains no changes from the one Farrell City Manager LaVon Saternow presented to council in October.

The spending plan doesn’t require an increase in Farrell’s property tax levy or changes in the resident or non-resident wage tax rates.

Property taxes will remain at 22.5 mills. The wage taxe rate is 1.8 percent for residents and 1.4 percent for non-residents.

One mill is $1 for every $1,000 of a property’s assessed value. Assessments were last done in Mercer County in 1970.

The budget totals about $2.57 million — a 4.5 percent, or $110,000, increase over 2006. It foresees increased spending in all departments, the largest being a 4 percent, or $38,706, in the assessment the city pays to Southwest Mercer County Regional Police Department.

The city is benefiting from larger-than-projected collections from the emergency services tax levy of $50 the city splits with the school district that used to be $10 and was called the occupational privilege tax until two years ago.

Interest earnings are also up this year and the pension state aid allocation was more than expected, Mrs. Saternow said. Combined with a fund balance of $32,724, there is no need for a tax increase, she said.

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