Proposed budget doesn’t hike taxes

Despite pandemic, finances in good shape

LOWERSALFORD » The township’s proposed 2021 budget will be presented in November, with a final vote coming in December, but the Lower Salford Township Board of Supervisors Oct. 21 morning work session meeting gave a preview.

“There is no tax increase being proposed for 2021,” Township Manager Joe Czajkowski said.

That keeps the township real estate property tax rate at 2.689 mills, giving a bill of $537.80 for a home assessed at $200,000. Each mill equals $1 of tax per $1,000 of assessed property value.

The 2.689 mills includes 2.034 mills for the general fund; 0.095 mills for the park fund; 0.33 mills for the library fund; 0.18 mills for fire protection; and 0.05 mills for the ambulance tax.

Before outlining next year’s proposed budget, Czajkowski reviewed where the 2020 budget stands.

“As of this past week, revenue is ahead of 2019 by $73,000,” he said.

That’s about 2 percent below this year’s budgeted amount, but revenues are expected to be ahead of budget by the end of the year, he said.

“Expenditures, on the other hand, are $434,500 under 2019,” Czajkowski said. “When you put those two numbers, revenue and expenditure positions together, we’re I think in very good position moving forward and if we maintain this through the end of

the year, I think we should be in a positive place.”

Earned income taxes collected to date are about $44,000 less than in 2019, but are expected to end the year above budget, he said. Real estate transfer taxes are running $38,500 ahead of last year, with real estate property taxes at $39,800 ahead of last year.

A draft of the proposed 2021 budget shows about an $86,400 increase in revenues and about $43,600 more spending, he said.

Expenses include a $250,000 transfer to capit a l reser ves, $50,000 for a new police vehicle and $95,000 for the Harleysville Community Center, he said.

The Harleysville Community Center payment

includes the fifth and final year of a $75,000 contribution for the center to repay a loan taken out for pool improvements, along with the township’s regular $20,000 per year donation, he said.

The community center provides a lot of benefit to the township, Czajkowski said later in the meeting.

“From a municipal standpoint, $100,000 a year is a steal for what the community center does,” he said.

“I would agree,” board Chairman Doug Gifford said.

Health insurance premiums decrease by 9.8 percent next year, Czajkowski said. The township is in a trust that provides the insurance and which consists of only municipalities, he said.

Other expenses include $35,000 to replace playground equipment in Briarwyck Park and $10,000 for repaving or seal coating township bike trails. Equipment expenses include a dump truck, backhoe, mower and pick-up truck.

“All of this equipment, as has been our past practice over a few years, will be purchased on a 5-year lease/purchase program,” Czajkowski said.

The lease/purchase will cost the township about $100,000 per year for the four pieces of equipment, he said.

The dump truck replaces one from 1998 and the new backhoe will replace one that is more than 20 years old, Public Works Director Doug Jones said.

This year’s pandemic wasn’t anticipated, Czajkowski said.

“We don’t know what’s out there, but should things stay somewhat similar to the way they are now,” he said, “I think we’re in good shape.”