Montgomery Township News.
Officials cite long-term funding stability and volunteer retention as priorities
The Montgomery Township Board of Supervisors voted this week to adopt the township’s 2026 budget, with a 1.15-mill increase, approve a volunteer firefighter stipend for the coming year, and enact a new dedicated fire tax, formalizing changes aimed at stabilizing public safety funding and long-term financial planning.
Supervisors approved the 2026 budget in a 4-1 vote with total operating expenditures of $36,134,300 and set the real estate tax rate at 4.09 mills, up from 2.94 mills in 2025. Supervisor Tanya Bamford was the dissenting vote.
The increase will cost township taxpayers about $287.50 per year on a home assessed at $250,000.
During discussion, Township Manager Carolyn McCreary explained that the budget followed months of departmental review, public work sessions, and a publicly advertised preliminary budget made available for inspection prior to final adoption.
During public comment, a resident questioned the township’s use of reserves and capital expenditures, noting a projected reduction in fund balances over the coming year.
“We basically have funds, and you are going to spend 40 percent of those," he said. "You are going to go from $20 million and spend $9 million on capital reserves. I also noticed that between October 2025 and the beginning of January 1, the reserves go down by $2.8 million. That seems pretty extensive. I am curious what those capital reserves are being spent on?"
He continued that fund balances increased 60% from 2023 to 2026, and attributed it to salaries, and asked if supervisors had comment about it.
"What you are talking about? Because you said, 'the salary.' Whose salary?" asked Chairwoman Audrey Ware.
"Well, again, if you reviewed the budget, I think you would know that answer," the resident said. "By asking me, I do not know if you did your due diligence on where the increases are.”
Earlier in the meeting, McCreary stated that the budget materials clearly outlined the planned expenditures and emphasized that the figures reflected deliberate capital planning rather than unexpected shortfalls.
According to the 2026 budget, the largest increases, in police services and public works, fall in the mid-to-high 20% range over three years, consistent with inflation, contractual obligations, and service demands.
Police services expenditures increase from $5,370,901 in 2023 to a proposed $6,717,500 in 2026. That is an increase of about 25% over three years.
Planning and zoning expenditures remain largely flat over the period. The proposed 2026 budget of $271,800 is slightly below the 2023 actual of $289,102 and only marginally higher than the 2025 budget.
Public works expenditures rise from $1,163,865 in 2023 to a proposed $1.49 million in 2026, an increase of about 28% over three years. The increase appears tied to labor, materials, and operational costs, as well as expanded maintenance and infrastructure demands. As with police services, the growth is gradual and spread across multiple budget cycles.
Police pension expenditures fluctuate significantly year to year, rather than following a steady upward trend, per budget figures. Expenses drop sharply from $674,640 in 2023 to $385,249 in 2024, then level off in the mid-$300,000 range before rising to a proposed $440,700 in 2026. Compared to the 2023 high point, the 2026 budgeted amount is lower, not higher.
Non-uniformed pension expenses show more variability, but no sustained spike. After decreasing from $244,137 in 2023 to $219,892 in 2024, the budgeted amount rises to $280,000 in 2025 and $328,000 in the proposed 2026 budget.
While that represents an increase over recent years, it is consistent with normal pension funding adjustments and does not indicate a sudden benefit expansion or salary-driven surge.
Volunteer Firefighter Stipend
As part of the same meeting, supervisors unanimously adopted a resolution setting the volunteer firefighter stipend at $500 for 2025, contingent upon members meeting established “qualified active member” criteria.
McCreary said that the stipend replaced prior tax-credit incentives, which were found to be ineffective for retired volunteers, renters, and younger firefighters who do not own property.
"On April 13, 2020, the township approved the first responder recruitment and retention incentive for volunteer first responders for their service. Before adopting this resolution in 2025, the township must acknowledge the fire company or EMS squad’s written criteria for determining qualified active member status," she said, pointing out FDMT by laws in a packet given to supervisors, which outline the points allocated for members in order to achieve such status.
"As a reminder, this replaces the tax credit that was put in place originally because we found that some retired volunteer firefighters were not being served by the earned income tax credit. We also have younger volunteer firefighters who do not own property yet. Some still live with their families. Some are renting. As a result, the real estate tax credit did not work for them," McCreary said. "At that time, the board rescinded those credits and put in place a $500 incentive so that, as long as volunteers meet the criteria established by the Fire Department of Montgomery Township, or in the case of EMS, they would qualify."
McCreary said the township sends a check to each organization, which will then distribute stipends to qualifying members based on the internally-established point systems and by laws previously acknowledged by the township.
Dedicated fire tax
Supervisors also adopted an ordinance in a 4-1 vote establishing a dedicated fire tax, separating fire protection funding as its own line item on real estate tax bills. Bamford was the dissenting vote.
McCreary said that the township previously allocated 0.56 mills toward fire services within the general tax rate, but the new ordinance increases that amount to a total of 1.71 mills specifically designated for fire protection.
Township officials said the change will allow clearer tracking of fire service funding and aligns with other dedicated municipal taxes, such as the streetlight tax. Adoption of the ordinance allows the new township tax collector to revise billing accordingly.
Bamford reiterated another look is needed at the fire department proposals.
“Speaking only for myself, I continue to believe that an independent assessment would be beneficial before any long-term staffing decisions are made for the fire department. Such a study would also give a new chief a solid baseline for planning the department’s future," she told North Penn Now during comment on Bill Wiegman's resignation announcement.
