Friends, Neighbors and Fellow Upper Merion Area Residents:
At the Monument in Valley Forge
On Thursday, November 17th the Upper Merion Township Board of Supervisors posted the 2017 Budget.
The Upper Merion Township Budget is actually several budgets. These budgets are the operating budget, the capital budget and the sewer budget. The operating budget is by far the biggest and it serves the purpose implied by its name which is to fund the day to day operations of the township. The operating fund budget for 2017 is just shy of $36 million. The largest source of our operating revenue are Act 511 taxes – that’s the revenue we derive from businesses, much of which originates from the various businesses located in or near the First Avenue Business Park, the King of Prussia Mall and the rest of the US-202 corridor. Other important sources of revenue includes the casino which expected to provide around $1.95 million to the township as a result of the state gaming law, funds from various fees and permits, grants, commercial real estate taxes and real estate transactions – the latter can result in a huge payment to both the township and the school district when a large building is sold.
Another source of revenue for Upper Merion Township is the one you’re probably most familiar with – residential real estate taxes – though only 6.33% of our revenue comes from residential real estate taxes. This is a result of the strong, growing revenue streams from the sources listed in the previous paragraph and a thriving business community. It’s a simple equation: the stronger our local economy, the greater the likelihood that we can produce balanced budgets without raising taxes while simultaneously providing a high level of services and economic opportunity. This Board of Supervisors is very proud of the fact that 2017 will be the 7th consecutive year without a tax increase which is the longest stretch of time without a tax increase in decades.
Budgets are inherently about priorities and besides not raising taxes another priority is to invest in our community. The 2017 budget contains significant investments in the future of Upper Merion Township and our residents. This includes over $300,000 in upgrades to the Upper Merion Township Pool including badly needed bathroom renovations, an ADA compliant ramp and more. But our infrastructure projects in the community goes far beyond the pool. Just some of our additional improvements includes allocating funds to construct a sidewalk from the King Manor Train Station to South Henderson Road, replacing the compost turner at Heuser Park, redesigning the township website (including making it mobile friendly) and rehabilitating the township pond.
Much of this article is very similar to my articles about the 2015 and 2016 budgets. That’s because passing an economically responsible budget will continue to be one of our most important responsibilities. It’s fundamentally a team effort involving the Board of Supervisors, township management, department heads and township staff. Upper Merion Township is known for our extremely low real estate taxes, no earned income tax and a high level of services and we are determined not only to preserve that reputation but to enhance it. However it’s not easy and we do have significant financial challenges ahead. Still I’m proud to be part of a board that’s never even contemplated raising taxes while simultaneously maintaining our AAA bond rating, cleaning up the golf course litigation mess and making key infrastructure investments.
If you’d like to review the proposed budgets or the township manager’s budget presentation, you can check it out by clicking this link. The Board of Supervisors is scheduled to vote on the 2017 Budget at the December 15th business meeting.
Sincerely,
Greg
