Portnoff Hired to Collect Delinquent Taxes

In a 5-3 vote, the Bethlehem Area School District board of directors for the coming school year.

The firm was recommended by the administration and will begin collecting delinquent taxes in 2012.

Currently, the district uses the services of the county to recover taxes owed to the district at a cost of a little more than $200,000 per year, district officials have said.

Voting against the change were members Benjamin Tenaglia, Loretta Leeson, and Rosario Amato.

Tenaglia said the change was unnecessary, pointing out that the district collected $2.8 million more in property taxes than they budgeted for this year.

He also said he the services should have been put out for bid, and found the court opinion in a decision against Portnoff in a recent lawsuit “troubling.”

“The administration has failed to demonstrate a need for a change,” Tenaglia said.

Leeson agreed, saying she felt the services should be put out for bid and the board consider other options before coming to a decision.

She also expressed concern about the firm.

“I was very concerned reading the full opinion (of the lawsuit),” Leeson said.

In support of employing Portnoff, board vice-president William Burkhardt said the potential of missed revenue for the district was too great to ignore.

“It's troubling to me that we'd overlook a potential $500,000 in revenue. It's also troubling to me that there are more than 1,000 (properties that didn't pay their taxes),” he said. “I simply don't see what kind of problem there is with trying this organization for a year.

“I don't really see the degree for an RFP that you do,” Burkhardt added.

Tenaglia agreed the number of delinquent properties was high, but said the situation has improved.

“Yes, the number is troubling, but it's the lowest number...in years,” he said.

“The scope of services is extremely narrow, and the risks to the district are extremely small,” Superintendent Joseph Roy told the board. “Portnoff has positive recommendations from some of our neighbors.”

Turning to other matters, it was announced the budget hearing scheduled for May 25 has been postponed until June 8. The board will vote on the final budget for the 2011-2012 school year as scheduled on June 13.