1-Mill Tax Hike Proposed In 2023 Norristown Municipal Budget

NORRISTOWN, PA —Real estate taxes are expected to rise by 1 mill under a 2023 municipal budget the Norristown Borough Council is expected to adopt at its meeting next week.

The $40.5 million budget is looking at a $1.8 million revenue gap which is proposed to be covered through an increase of real estate taxes from 16 to 17 mills and the use of $943,000 in American Rescue Plan Act funding, borough officials stated on its website.

Revenues will remain relatively flat, but costs increase annually, borough officials said.

The council meeting on the budget vote is at 6:30 p.m., Dec. 6.

The first public look at the 2023 budget was at the Municipal Council Work Session on Oct. 18.

Three public hearings followed to discuss expenses, forecasted revenues, and possible tax rates for the budget. Those took place on Oct. 27, Nov. 9, and Nov. 21.

The current proposal of $40.5 million marks about a $3 million increase over 2022's $37.8 million budget.

"Some operating costs are up due to inflation," the municipality said during a recent presentation, noting prices for things like gas and vehicle maintenance.

Borough officials said the revenue gap was caused by:

• Wage increases for Police and Fire are currently set at 3 percent, but negotiations are ongoing.

• 4 percent increase for Police and Fire will add $104,000 to the 2023 Budget.
• 5 percent increase for Police and Fire will add $207,000 to the 2023 Budget.
• High Inflation - Impacts both labor and operating costs.
• Recession in 2023 will negatively impact revenue.
• Tumbling Stock Market - Will increase our pension costs.
• Recreation Area Expansion will incur additional labor and operating costs which are not

Click to see the2023 municipal budget presentation.