For a copy of the 2023 Operating Budget, please contact Borough Hall at 215-443-9100

The 2023 Borough of Hatboro budget was respectfully submitted to Borough Council and the residents of the Borough on December 19, 2022. This budget will allow the Borough to preserve and maintain its infrastructure for the benefit of the current and future residents of Hatboro with a 0.62 mil proposed increase.

The annual budget is important to provide our elected officials and Borough taxpayers an understanding of the financial and functional condition of the Borough in a concise
manner. Additionally, the budget provides an outline of the fiscal plan for 2023 and illustrates
what to expect in the future. The 2023 proposed budget reflects the Borough’s plans and staff
recommendations to move the Borough forward and to maintain services and amenities that
residents and businesses are accustomed to. The proposed 2023 budget total for all funds
(General, Fire, Sinking, Library, and Pool) is $9,049,059 million and is balanced as the result of
a 0.236 mil increase to taxes for the General Fund and a 0.384 mil increase for the Sinking
Fund.

The following are highlights of the proposed 2023 Budget:

The 2023 budget includes a 0.62 mil increase in the real estate tax to fund on-going and
proposed infrastructure improvements, debt obligations and general operating expenses. If
approved, the Administration recommends the below allocation of taxes.
General Fund: 7.801 Mils
Sinking Fund (Debt Service): 1.352 Mils
Fire Service: 0.925 Mils (no change from previous years)
Library Service: 0.55 Mils (no change from previous years)

For a property assessed at a value of $136,708, the real estate tax amounts to approximately
$115.00 per year or $9.58 per month to support Borough Services.

A mil is the rate at which tax revenue is generated from assessments, expressed in terms of
1/1000th of a dollar. This means that for every $1,000 of assessed value, $1.00 per mil is taxed.
To calculate the property tax for any given property, multiply the assessed value of the property
by the millage rate and divide by 1,000.

The operating budget proposed for 2023 will allow the Borough to continue the high level of
service expected by our residents. The Budget supports accustomed levels for police, fire,
recreation services, money for recreation programming (check this), park maintenance, road
maintenance, trash collection along with customer service.

Expenses also include debt payments on outstanding bonds and funding for certain
infrastructure improvements and capital equipment purchases. There are no proposed
reductions in Borough services.

There are tremendous consequences when infrastructure is neglected, we saw that with the
Borough Hall Project at Loller. The Borough outlines the capital needs to address such
concerns and works daily to make sure these needs are addressed and solutions
presented. The proposed budget includes necessary funding for improvements to the
Borough’s roads, public buildings, stormwater and parks.

Proposed Capital Infrastructure projects for 2023 include:
Stormwater Improvements
Park/Pool Upgrades/Improvements
HVAC work at Pennypack

Capital funds also include outlays for fleet and equipment for all departments within the
Borough.

The General Fund is the largest operating fund in the Borough’s budget and accounts for many
common local government services. These include police protection, planning, zoning, and
code enforcement services, fire marshal, general administration, financial accounting services,
legal, engineering and information technology expenses, community relations, tax collection
services, facilities maintenance, fleet maintenance and public works services.

Expenses from the General Fund are viable for any legal expenditure, however tax levies for
special purposes such as fire, library and debt payments are permitted only for that
purpose. For example, the Borough cannot use proceeds from the fire tax for police
services. Revenues and expenditures in each fund are specific to that fund and its legally
allowable purpose(s).

The Borough also budgets for special funds (Hatboro Memorial Pool, Events Committee &
Pennypack Facility/Community Center), special revenue funds (Parks and Highway Aid). Debt
Service Fund and Capital Fund Expenses in this fund are limited to capital improvements
following the Borough capital plan. Each operating and capital fund in the proposed budget
shows beginning fund balances, projected revenues, proposed expenditures and ending fund
balances for the new fiscal year.

General Fund revenues in 2023 are budgeted for $7,568,275 Million. This is a decrease from
the 2022 budget by $278,472 or 3.5%. The budgeted revenue consists of increased real estate
tax revenue from an increase in assessed value and the 0.236 mil increase. The 2022 ARPA
allocation is a large factor in the expenditures/revenue for 2022 being higher than 2023 figures.
Borough Council has created a template for best practices in government and continue to use
those practices to take a businesslike approach in providing services through raising revenue.
The Borough has a strong record of attracting new development and businesses, all of which is
considered when preparing our annual budget.

Efficiency and effectiveness are at the heart of a results based government and Borough staff is
proud to present the 2023 proposed budget to Borough Council and the citizens of
Hatboro. Each employee joins me in taking great pride in the work we all do and did with this
2023 budget, we look to assure our taxpayers that the services and facilities we provide are in
good shape now and into the future.

Sincerely,

Diane C. Hegele
Borough Manager