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Saint Marys tax collector defends office and questions outsourcing to Berkheimer
Summary
Outgoing tax collector Charles Blom told the council he has collected the local services tax for 20 years, disputed claims that many residents aren—t paying, and warned Berkheimer's contract would cost the city more and request taxpayer-roll data.
Charles Blom, the elected city tax collector, spent the council meeting explaining how the local services tax (LST) works and disputing council comments that prompted a proposed switch of collection duties to Berkheimer Tax Services. Blom, who said he has served about 20 years, told the council the LST is a $52 annual charge levied where people work; $47 of that goes to the city and $5 to the school district.
Blom said the city bills businesses and self-employed residents annually and that reporting rules changed in 2008 to require quarterly entries by Social Security number. He told the council he recently collected roughly $89,913 in one quarter and estimated annual LST collections at about $360,000, with about $325,000 flowing to the city and roughly $42,000 to the school district. "So for me, I got $4,800 to collect that tax," he said, describing his current compensation under a collection contract.
Blom criticized remarks made at a prior meeting that, he said, suggested the city—s tax office lacked knowledge or that many people were not paying. "That part isn't true," he said of claims that many residents were not paying the tax. He said Berkheimer already provides data the city uses and that outsourcing collection would increase costs: Berkheimer's proposal quoted a 2.5% fee, compared with the current 1.5% the city paid to its collector.
Blom also objected to how the matter was handled procedurally. He said he received an email from Berkheimer asking for his files and that he wished council had scheduled an explanatory presentation before voting on related matters. He warned that Berkheimer's contract language asked for taxpayer-roll additions and included an annual price-adjustment clause that could increase cost over time.
Council members did not take a recorded formal vote on outsourcing during the presentation; the session functioned as a public explanation by Blom and a forum for council discussion. Blom repeatedly urged the council to consult people who know the operational details before deciding on contractor transitions and to include such explanations on future agendas.
The council moved on to other agenda items afterward; no immediate action transferring LST collection to Berkheimer appears in the meeting record.
