At a public meeting on Oct. 5, a discussion of the township's 2024 budget was led by Township Manager Tracey Tackett with assistance from Treasurer Linda Major and Road Master Steven Heller. Major expenditures discussed include planned renovations to the schoolhouse, an addition to the maintenance building/mechanic's pole barn, and road projects with Faust Road being the priority.

            The township's projected revenue for 2024 is $1,423,367 which is slightly more than in 2023. This includes a grant of $100,000 for the schoolhouse renovation project. Interest earnings remain stronger than originally budgeted. Recurring expenses total $1,193,787.55 resulting in a surplus of $229,579.45.

            Tackett informed the board that there is currently $825,000 in the water fund. She then presented several scenarios for the rate increases in water fees for the Perkiomen Crossing housing development. The preferred option is an increase of $2/month to the current flat fee of $14/month and $2/1,000 gallons to the current consumption fee of $6.25/1,000 gallons.

            This increase was based on the projected shortfall in the water budget and the $100,000 loan required for the Perkiomen Crossing Water Upgrade Project. Every dollar increase in the flat fee translates into an additional $3,500/year in revenue. Every dollar increase in the consumption fee translates into an additional $13,000/year in revenue.

            Even with this increase the water fund will be operating in the red for the foreseeable future with additional rate increases possible in the future.

            There is a general fund balance of approximately $450,000 that could be used to cover the shortfall or reduce the amount of the loan. Some of these funds will be needed to cover the shortfall in the sewer fund.

            Some projects/purchases originally planned for 2023 have been postponed until 2024.

            "We are losing money," stated Vice-Chair Ron Di Francesco.

            "We need to cover the costs and prepare for the future," stated Chair Sean Frisco.

            "It's an aging system," agreed Tackett.

            Tackett and Major then presented scenarios for monthly rate increases of $4, $6, $8, and $21 for sewer fees for the Perkiomen Crossing housing development. With the $4/month scenario, the debt for the sewer fund will be paid off in 2028.  In the interim, the township would need to transfer or borrow $229,000 to cover the loss. With the $6/month scenario, the amount that the township would need to transfer or borrow drops to $189,000. The $8/month scenario drops the amount to $150,000.

            In all scenarios, the sewer fund becomes solvent in 2028. Regardless of the scenario chosen, the township will need to borrow money from the water fund to cover shortages in the sewer fund.

            After a lengthy discussion the board is seriously considering rate increases of $2/month to the flat fee, $2/1000 gallons to the consumption fee, and $10/month in sewer fees, but no final decisions have been made at this time. Tackett is meeting with the Perkiomen Crossing Homeowners Association soon to keep them aware of the situation and solicit feedback.

            There has been no increase in the water or sewer rates in Perkiomen Crossing for 10 years.

            Tyler Mittnacht, from Kimmel Bogrette Architects, presented three possible options for the renovation/expansion of the Upper Frederick Township building, public works garages, and the schoolhouse located directly across Big Road (Route 73) from the township building.  The various options ranged in price from $482,000 to $1,998,000. No decisions were made by the board.