Board approves Berkheimer to collect local taxes starting Jan. 1, 2026 after amendment to include earned-income tax

6442165 ยท October 10, 2025

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Summary

The Keystone Central board approved a contract amendment sending local service tax, earned-income tax and business privilege tax collection to Berkheimer effective Jan. 1, 2026, after debate over timing and coordination with the TCC tax committee.

The Keystone Central School District Board of Directors voted to approve Berkheimer as the district's tax-collection agent for the local service tax (LST), earned-income tax (EIT) and business privilege tax (BPT) with an official start date of Jan. 1, 2026.

Board discussion focused on timing and coordination with the Tri-County Collection Committee (TCC), which handles earned-income tax decisions. Board members said the TCC had expressed intent to use Berkheimer, but that contract paperwork and a TCC vote remained pending. At the meeting, board members said Keystone Central would collect through Dec. 31, 2025 and transition receipts and operations to Berkheimer at the Jan. 1 cutoff.

The motion, as amended on the floor to include EIT along with the previously proposed LST and BPT, passed on a roll-call vote, 6-2. Several board members asked that the administration provide a memorandum of understanding (MOU) to retain one temporary tax office employee through late spring to assist with the transition and to ensure continuity of service.

During the discussion, board member Chris pressed for a clear cutoff date for EIT work and for the status of the TCC lawyer's work on the Berkheimer contract. Board administrators said the TCC is ultimately responsible for selecting the EIT contractor but that Keystone Central would recommend a December 31 cutoff and would continue to provide staff to process end-of-year collections and to facilitate transfer of records.

The board recorded the motion as an approval to have Berkheimer begin collecting LST, EIT and BPT effective Jan. 1, 2026. The contract is between Berkheimer and the district (and, for the EIT, between Berkheimer and the TCC); board documents indicate Berkheimer as the winning vendor but did not include a contract number in the public packet.