New Library Finances and Taxes

Working together with constituents’ ideas and comments have informed the “not to exceed” motion, passed at the April BOC meeting. This motion clarified that the total capital costs of the Library would not exceed $7,528,407. Note, the initial $9,00,000 cost of the building and re-purposing of the new library plus the additional $7,528,407 was accomplished without a penny in additional taxes.


The following budgeted items Not to Exceed Clauses Approved in April’s BOC Meeting
The CM3 contract is Not to Exceed $7,528,407
D'Huy contract is
Not to Exceed $362,000. 
Goshall, Kane, & O’Rourke Architects contract is
Not to Exceed $506, 598


Tax Increase for the New Library Operations
The $43 dollar per average household tax increase will fund the on-going operating expenses of the Library.

Year

Budgeted to Pay Operating Costs
Cumulative Tax Effect

2019

$6
$6
2020
$25
$31
2021
$12
$43
2022
0
Already in budget
2023
0
Already in budget
2024
0
Already in budget
2024
0
$50 savings from loan payoff
2029
0
$55 savings from loan payoff

The $43 dollar increase in taxes to pay for the annual operating costs is spread out over 3 years as seen in the chart above. By 2021 the $43 will have been met and every year afterward there will be no tax increase to operate the library unless there is an increase in costs like salaries. These salary costs would be very little (pennies) compared to the $500k costs we have already absorbed ($43) in the budget.

Secondly, in 2024 a debt roll-off will bring a reduction in taxes of $50 per average home. By 2029 another $55 per average house will be saved in taxes.

Thirdly, there will be increased revenues. The new developments such as the Promenade and the Enclave will bring increased revenues. Through the townships efforts businesses have been moving into the FWOP. Recently, Trumark Financial Credit union, Lifetime Fitness, and Toll Brothers headquarters, have located in the FWOP, bringing increased tax revenues to our township.. This will work to balance the budget further.