Proposed Draft 2026 Newtown Township Budget
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Newtown Township: 2026 Proposed Budget – Executive Summary
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 exceptional public services and advance community priorities. This executive summary provides a high-level overview for township officials, staff, and community leaders, focusing on the key financial metrics, operational priorities, and capital investments designed to maintain and enhance the quality of life for our residents. It details a fiscally responsible approach that balances the need for critical investments in public safety and infrastructure with the financial impact on taxpayers.
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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
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). 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.
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 |
Conclusion: A Fiscally Responsible Path Forward
The 2026 Proposed Budget maintains fiscal discipline while addressing operational and public safety needs. By using a portion of the fund balance and modest, dedicated tax adjustments, the Township sustains essential services—including police, fire, EMS, and public works—while preserving compliance with financial policy. These investments position Newtown Township for long-term stability and continued community success.
Posted on 23 Oct 2025, 01:54 - Category: Budget
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