Tax Increase Not Expected In Middletown


The Middletown Township Municipal Complex
Credit: Tom Sofield/LevittownNow.com

Taxes aren’t expected to rise in Middletown Township in 2022.

The Middletown Township Board of Supervisors voted recently to approve a proposed spending plan that would hold the line on taxes. The $47.4 million proposed budget comes as the municipality has seen finances rebound from 2020 and been helped an influx of federal aid.

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The average assessed property in the township will pay $516.73 in real estate taxes, and working residents will continue to pay a .5 percent earned income tax (EIT).

“This document takes into consideration the significant impact that the global COVID-19 pandemic has had on township finances over the past twenty months, and although there was much uncertainty when preparing the budget this time last year, 2021 has proven to be a positive year financially, with strong rebounds in several key revenue sources and an unanticipated influx of state and federal funding related to pandemic recovery. In fact, the expected need to transfer $1,110,000 from the Investment Fund to the General Fund in 2021 was not necessary,” Township Manager Stephanie Teoli Kuhls said in the 234-page budget document.

The township manager warned that contractual obligations will start to outpace expected revenues in the coming years.

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Middletown Township received more than $2.5 million in federal and state COVID-19-related aid in 2021. Next year, the township is expected to receive $2.3 million, totaling $4.6 million with 2021’s deposit accounted for, through the American Rescue Plan Act.

A transition for all township employees to the Delaware Valley Health Insurance Trust in 2020 saved the municipality money and stabilized insurance costs, the township manager said.

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Teoli Kuhls noted the township will continue to seek stable revenue for capital improvement projects, stabilize expenditures to match revenues, and pursue economic development programs to attract and retain businesses.

The township’s investment fund, which came from the 2002 $40 million sale of the township’s water and sewer facilities to the Bucks County Water and Sewer Authority, is expected to start 2022 with $44.9 million in the bank. The township uses interest earned on the account for capital expenses, and plans to use $1 million for capital projects and $750,000 to implement the fire services study.

Some highlights of the township’s capital planning spending: $182,000 for improvements and updates to the Municipal Center, the purchase of a pickup truck and electric car for inspectors, implementation of the 2021 township fire study, $187,000 on information technology upgrades, improvements to several parks, creation of a comprehensive parks and walkability plan, $30,000 for removal of dangerous trees, a $7,500 police drone, $1 million for the road improvement plan, $1 million for infrastructure upgrades at the public works facility on Veterans Highway, $777,000 for public works vehicles and heavy equipment, $1.5 million for stormwater and drainage improvements, $1.4 million for sustainability projects, intersection and sidewalk upgrades are planned, and the purchase of four police patrol cars, two motorcycles and one patrol ATV are budgeted for the police department.

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Teoli Kuhls said the township has received grant money and will be seeking grant money to help pay for capital projects.

The township has a staff of 116 full-time employees, 23 regular part-time staffers, and 73 seasonal employees.

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The supervisors are set to vote on whether or not to adopt the budget at their December meeting.

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