Uwchlan supervisors unveil nearly $29 million 2026 budget, propose millage and fee increases

Mr. Kegel presented the township's proposed $28,973,450 2026 budget and told the board it balances operating and capital needs while restoring and creating small, targeted millage lines.

"This budget is a culmination of a series of public workshops ... all of which we'll discuss again this evening," Mr. Kegel said, and highlighted recent accomplishments including installation of 11 automated external defibrillators in township parks and progress on park planning, in-house paving and wastewater planning.

The proposal splits roughly $24.19 million for operating and about $4.78 million for capital. Mr. Kegel said the two funds showing the largest increases are the hydrant fund (about 19%) and the sewer fund (about 20%), driven by a long history of cross-funding after the 1991 sale of the water system and by recent unexpected sewer repairs and regional project participation.

On revenue measures, the presentation tied much of the change to a proposed adjustment in the township millage and to rate changes in user fees. Mr. Kegel outlined proposed tax and fee changes that include adding a 0.3-mill general fund tax, a 0.3-mill EMS fund tax (unchanged from its introduction last year), a new 0.3-mill fire protection fund tax, and a 0.125-mill hydrant fund tax. He said those additions would raise the typical township real-estate tax to about $196.56 for the average single-family home while keeping the township's portion small compared with county and school levies.

The proposal also includes user-fee adjustments: trash fees proposed to rise from $95 to $110 per quarter and sewer fees from $125 to $150 per quarter. Mr. Kegel noted earned-income-tax receipts appear to have a projected shortfall of about $700,000, attributable in his presentation to a lower payment from one of the township's largest employers, citing Keystone Collections Group projections.

On capital spending, the township plans roughly $4.5 million for 2026 as part of a rolling five-year capital program. Major projects cited were park master planning and improvements (Rossi Park, Shimona Peek Nature Play, Don Forge pond restoration, Jones Pond engineering), vehicle replacements including two all-electric vehicles, stormwater improvements and nearly two miles of paving listed by street.

A resident, Coughlin of 491 Lionville Station Road, asked where a long-term capital reserve for aging township facilities appeared in the plan and urged modest tax increases to keep services current. "I've lived in the township for 40 years ... it's about time we raise taxes at some nominal rate that keeps up with inflation," he said. Staff and board members responded that a five-year capital plan exists and that the township is working with public-finance consultants (PFM) to develop longer-term funding strategies.

The board voted to grant permission to advertise the budget document and, separately, permission to advertise an ordinance to adjust sewer rates; both motions passed by voice vote. The board is scheduled to consider final approval of the budget and the sewer-rate ordinance at its regular meeting on Dec. 8.

The presentation packet and draft ordinances will be posted on the township website and mailed to property owners; staff asked residents to review materials and noted several capital projects remain grant-dependent.