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West Chester manager warns of stormwater funding gap after Pa. Supreme Court ruling
Summary
Borough Manager Sean Metrick told council the Pennsylvania Supreme Court ruled the borough's stormwater fee is a tax and that the university—deemed tax‑immune—does not owe about $115,000 per year, leaving the borough to decide how to fund stormwater obligations; an executive session with counsel was scheduled for June 11 to determine next steps.
Borough Manager Sean Metrick told West Chester Borough Council on May 20 that a recent Pennsylvania Supreme Court decision found the borough's stormwater fee to be a tax, and that the borough’s case failed with a 4–3 ruling. The court determined that the university—being a tax‑immune entity—did not have to pay approximately $115,000 per year the borough had expected.
Metrick said the borough never collected that revenue and that the ruling does not change the technical stormwater management obligations under chapter 94 of the borough code. He urged council that the borough must decide how to proceed administratively and financially, and he scheduled an executive session with legal counsel on June 11 to review the court's executive summary and answer operational questions such as how to handle stormwater fee checks currently on staff desks, outstanding liens on properties in collections, and title transfers for properties with unpaid fees.
Metrick reviewed the borough’s stormwater investments, citing a 2013 study that recommended investing roughly $620,000 annually in capital projects to address stormwater needs. He highlighted completed projects and costs: a Plum Run project (nearly $940,000, completed 2022) and a streambank stabilization project (about $5.6 million). He also described smaller pervious paving and stormwater best management practices that improve water quality but carry high per‑site costs. "We lost our case," Metrick said, "but stormwater management rolls on." He called the issue "urgent" for administrative follow‑up.
Council members asked what penalties the Department of Environmental Protection might levy for noncompliance and whether the borough could simply stop work; Metrick said DEP has enforcement tools but he had not seen harsh penalties land on municipalities like West Chester in his experience. He emphasized the likely need to identify new funding sources or budget adjustments to continue the borough's stormwater program.
Why it matters: The ruling reduces projected near‑term revenue from non‑municipal property (the university) and may increase pressure on the borough to find alternative funds for required stormwater projects and operations. The June 11 executive session with legal counsel will be the next formal step for council and staff to clarify options and responsibilities.
What happens next: Borough staff will present further guidance after the legal review; council may need to consider budget adjustments or alternative revenue sources to maintain stormwater programs and capital projects.
