The county commissioners yesterday presented a $456 million 2008 budget proposal that calls for no tax increase despite expenditures expected to increase by $17 million or 3.9 percent over this year's budget.

County property owners are now being taxed at 3.804 mills. That translates into a $736 tax bill for the homeowner whose home is assessed at $193,356, the county average.

The budget proposal was presented yesterday at the commissioner's Sunshine Meeting, just one week before the Nov. 6 general election. Carol Aichele, the commissioners' chairwoman, is the only commissioner seeking reelection.

Real estate taxes account for only 30 percent, $138 million, of the proposed budget. The largest revenue source for the county continues to be federal and state grants which a projected for next year at $198.8 million, 44 percent of the budget.

The $19 million projected in increase spending amounts to .078 mills; however, that increase is offset by decrease in debt service equal to .078 mills.

County Commissioner Don Mancini said the budget proposal culminates four years of "very nice work." When Mancini and Aichele were elected four years ago, the pair inherited a massive building program inherited from the previous board. "There wasn't a spade or hoe in the ground when we took over," he said. Mancini is not seeking reelection.

Mark Rupsis, the county chief administrative officer, said the county was able to offset any tax increase in part because the county's bond rating was upgraded to Triple A, allowing a $500,000 annual savings on new borrowings. Rupsis also said the county's Voluntary Incentive Program (VRIP) continues to save the county $4.5 million. The county's pension fund returns, he said, were better than expected, lessening the county's contribution to the fund. Also, health benefit costs were lower than expected because of a healthier county workforce and new cost effective contracts.

Staff and operating expenses related to the upcoming opening of the new Justice Center are projected to increase county spending next year by $1.2 million were listed among the highlights of the proposed budget. Also, a new judgeship for the county Common Pleas Court is expected to increase spending by $500,000.

Rupsis said the county receives only a small stipend from the state for Common Pleas Court judges who are considered state employees. "It doesn't come anywhere near close the costs associated with a new judgeship," said Rupsis.

The proposed budget was presented in two parts, the annual operating budget of $456 million and the capital budget of $93 million which covers borrowings related to the construction of the Justice Center, a new parking garage, and expansion at the county prison. Next year 42 percent, $39 million, of the capital budget is to be spent on open space. Rupsis said the figure represents grants awarded to municipalities not yet drawn down and a $20 million commitment to Landscapes.

Meanwhile, Bob Scott and Kathi Cozzone, the two Democrat commissioner candidates, argue that taxes were artificially raised last year by the Republican-controlled commissioners' board to build up a budget surplus to prevent being forced into calling for a tax increase in an election year.

"The county taxpayers should not have been taxed in 2006 to give Carol Aichele a phony election issues in 2007," said Democrat challenger Scott. "Commissioner Aichele passed what we can no clearly see was an unnecessary tax increase last year, in order to run for re-election while promising not to raise taxes.

Commissioner Pat O'Donnell, the lone-Democrat on the three-member board, argued against the 2007 tax hike. According to O'Donnell, the county will end this year with a budget reserve near $35 million.

The tax increase approved by the commissioner amounted to less than $30 for the average homeowner.