By Richard L. Gaw
Staff Writer

As they prepare to give their final approval to New Garden Township’s fiscal year 2025 budget next month, the township’s supervisors held their fifth public budget discussion on Nov. 18. 

Just as he has done in previous budget meetings, township Manager Christopher Himes gave a broad overview of the township’s fiscal picture for 2025 that provided a further glimpse into proposed expenditures, priorities and strategies for the coming year, highlighted by a proposed general fund budget that is projected to be $8,179,084, a $236,166 increase over the amended 2024 budget of 7,942.818.

Of the proposed general fund expenditures for 2025, a little more than two-thirds will be spent on community development and safety; public safety in the areas of fire and EMS services; the Southern Chester County Regional Police Department; and the Public Works Department’s highway and road maintenance and upgrade projects. The remaining third of proposed expenditures will be divided among 13 of the township’s service areas.

“Everything we’re doing is moving toward making sure that the township is operationally in a strong position to do those big-ticket tasks as well as making sure that we have a heavy hand in our other functions like roads and stormwater priorities for the township,” Himes said.

A large driver steering the township’s 2025 budget, Himes said, will be to evaluate and prioritize areas of need that align with the Comprehensive Plan objectives and give top priority to nine objectives: creating strong financial management; stimulating economic development in the township; investing in infrastructure; addressing the rising costs of public safety; implementing technology and other initiatives to enhance township staff operations; enhancing community services; maintaining a commitment to preserving open space; expanding the New Garden Flying Field; and improving energy efficiencies throughout the township.

The township’s capital investment plan is projected to dedicate as much as 81 percent of its budget over the next five years toward road improvements and stormwater management projects in the township at an investment of $6.9 million from 2025 to 2029.

On the revenue side for 2025, the township is expected to earn $2.7 million real estate taxes, $3.6 million in earned income, transfer and local service taxes; and $1.4 million from permits and fees.

Property taxes to increase slightly

Across the board, township homeowners will see a slight increase in their property taxes in 2025. Of the 214 households who own a home valued between $50,00 and $100,000, their yearly taxes will be $40.00, or $3.33 a month. For the 2,397 households whose homes are valued between 100,000 and $250,000, their yearly taxes will increase to $93.00, or $7.75 a month. The 537 residents who own a home valued between $250,000 and $400,000 will see their 2025 taxes increase to $143,00 in 2025, or $11.92 a month.

In many ways, New Garden Township remains on an uphill climb from a ten-year cycle beginning in 2014 that saw its tax base growth remain stagnant from a decision by the board not to raise taxes during that period, while at the same time seeing an increase in costs for services – specifically in the area of police, fire and EMS – that led to a $1.83 million structural deficit as the 2024 budget was being finalized. In preparation for the 2024 budget, the township originally proposed a property tax rate increase of 2.18 mills (from 1.72 to 3.9) in order to structurally balance the budget, but ultimately approved a 1.05 mill property tax rate increase for 2024, which when combined with using interest income from the sale of its wastewater system and general fund reserves helped balance this year’s budget.

“We want to make sure that we’re being cognizant of the impact of the tax rate increases that have to be done as a measure of sustainably funding our operations,” Himes said. “We have managed to put a blend of revenues together to make it so that tax rates from property taxes isn’t the only thing we are using. We are using all areas that we can.

“It’s about closing that big structural deficit gap that we had from accrued increase of expenditures over time during the last decade.”

After an hour-long discussion, the supervisors voted in favor of advertising the 2025 budget and are expected to reach final approval at their Dec. 16 meeting. 

Following discussion of the 2025 budget, James P. Brown, the township’s treasurer and director of finance, gave an overview of the township’s investment portfolio heading into next year. Utilizing the Pennsylvania Local Government Investment Trust (PLGIT) as the township’s investment and fiscal policy guideline, Brown said that the township’s investment strategy is projected to return $1,128,631.31in forecast interest income revenue in 2025, which is $46,631.31 more than the net budgeted amount.

To view the entire Nov. 18 budget presentation, visit New Garden Township’s YouTube channel: https://www.youtube.com/@NewGardenTownship/streams. 

To contact Staff Writer Richard L. Gaw, email [email protected].