Proposed Draft 2026 Newtown Township Budget

 

Proposed Newtown Township 2026 Budget

Introduction: Strategic Financial Plan for 2026

The 2026 Proposed Budget serves as Newtown Township's comprehensive strategic financial plan, outlining the resources required to deliver public services and advance community priorities. This executive summary provides a high-level overview for township residents, focusing on the key financial metrics, operational priorities, and capital investments designed to maintain and enhance the quality of life for our residents. Does it achieve that goal? You be the judge.

Deep Dive Podcast

 

2026 Financial Overview and Key Budgetary Adjustments

The 2026 General Fund budget is structured as follows:

• Budgeted Revenues: $13,625,200
• Budgeted Expenditures: $16,856,596
• Structural Deficit: ($3,231,396)

To balance the budget, the Township will utilize the anticipated end-of-year 2025 fund balance of $5,290,897. After applying this to cover the shortfall, the projected 2026 year-end fund balance will be $2,059,501 (12.21% of expenditures), which remains compliant with the Township’s minimum 10% policy but represents a significant decline from prior levels above 30%.

To sustain public safety services, the budget proposes a 4-mill real estate tax increase, allocated as:

• 3 mills – Fire Protection Fund
• 1 mill – Rescue Squad Fund

Summary of All Budgeted Funds

2026 Proposed Millage Rate Breakdown

Analysis of Major Revenue Sources

The primary source of revenue for the General Fund is the Local Enabling Act Taxes (Earned Income Tax, Local Services Tax, and Real Estate Transfer Tax), projected to generate $8,401,000 in 2026. Other significant revenues include:

• Real Estate Taxes: $1,493,000
• Wrightstown Police Services Contract: $1,029,000
• Recreation Programs: $650,000

Additional dedicated funds include the Fire Protection Fund, Rescue Squad Fund, Fire Hydrant Fund, and Debt Service Fund—each supported by specific tax millage.

Core Expenditure Priorities and Operational Investments

Personnel and Staffing Enhancements:

• New full-time Information Technology Director
• New part-time Human Resources Director

This brings total full-time equivalents from 79 (2025) to 82.5 (2026). Departmental Staffing Levels (2022-2026):

Insurance cost increases include:

• Property & Liability: +15%
• Healthcare: +7%
• Worker’s Compensation: +10%

Public Safety Commitments

The Fire Department will add two firefighters, increasing total career staff to 14. The 3-mill tax increase will help absorb SAFER Grant-funded positions when federal support ends in March 2027. No police staffing changes are planned for 2026.

Infrastructure and Maintenance

The 2026 budget restores a $350,000 roadway construction line item in the General Fund to supplement Highway Aid Fund resources for the annual road program. The Township aims to pave an average of 3.56 miles per year to maintain its 71.3 road miles on a 20-year cycle. In 2026, however, only 1.85 miles (see map and chart below) may be paved (more? or less depending on bid totals):

Base Bid (1.54 miles; $698,000 est.):

• Eagleton Farms (portion)
• Thornbury
• Jonquil Dr. (portion)
• Everett Dr. (portion)
• Columbine Dr./Goldenrod Ct. (portion)
• N&S Sycamore St. – Roadway Striping

Alternates (0.31 miles; $237,000 est.):

• Wrights Rd. – base repairs
• Linton Hill Rd. – base repairs
• Westwood Ct.
• Oak Ct.
• Brentwood Ct.
• Brianwood Ct.

It is estimated that from 2024 through 2026 an average of only 2.1 miles of roads per year have/will have been repaved:

2026 Major Capital Investment Plan

• Police Department: Four new vehicles – $340,000
• Public Works: New Ford F-750 Dump Truck – $205,000; South Drive Bridge Repairs – $55,000
• Emergency Services: Special Services Vehicle – $115,000; Training Structure – $200,420; Fire Capital Fund transfer – $660,000
• Road Program: $850,000 (Highway Aid + General Fund)
• Parks & Recreation: Helen Randel Park backstop replacement; Chandler Field improvements

Taxpayer Impact and Regional Context

The proposed 4-mill real estate tax increase will cost the average homeowner (assessed at $39,283) approximately $157 per year or $13 per month. Township taxes make up only 9% of the total property tax bill, with the rest going to the Council Rock School District and Bucks County.

Even with this increase, Newtown’s municipal tax remains lower than neighboring municipalities:

Municipality	Average Tax
Newtown Township (proposed)	$672.33
Doylestown Township	$857.32
Middletown Township	$941.36
Northampton Township	$1,276.70

 

Budget Adoption Timeline

The Preliminary 2026 Budget must be advertised for a minimum of 20 days before it can be adopted by the Board of Supervisors. Adopt Final 2026 Budget: December 10, 2025

Posted on 23 Oct 2025, 01:54 - Category: Budget