Plum property owners could see their property taxes increase by almost 40% under the borough’s proposed $25.1 million spending plan for 2024.

Council is considering setting the borough’s total real estate tax rate at 6.63 mills, interim borough Manager David Soboslay said.

That would be a 38.7% increase over the current rate of 4.78 mills.

The borough last increased real estate taxes in 2017.

“This tax increase is projected to fund future expenditures through 2028,” Soboslay said.

For a home at Plum’s median assessed value of $116,700, the borough property tax bill would increase by about $216.

Mike Doyle, council president, said the borough has held the line on taxes “for quite a long time.”

“It’s not just boroughs and cities and townships and counties feeling the pinch. Everybody is feeling the pinch. Prices of everything are going up. The borough is affected by that, too,” he said. “It’s gotten to the point now where if we don’t raise the millage rate to meet those needs, then we’re going to have to start cutting services, and nobody wants to do that.”

The borough’s total proposed budget for 2024 totals about $25.1 million. That’s an 11.7% increase over this year’s $22.5 million spending plan.

The general fund budget accounts for about $16 million, which is an increase of 7.3% over this year.

While public safety, the borough’s police department, is the largest expenditure in the general fund — $6.1 million in 2024, or an increase of about 6% — it’s not where the highest spending increase comes from.

Other spending categories exceeding $1 million are public works, rising 1.2%, to $3.1 million; sanitation, rising 3%, to $2.32 million; and general government, rising 16.5%, to $1.7 million.

The largest percentage increases in spending are for the borough building — increasing 31%, from about $585,000 to about $760,000, and information technologies, increasing 22%, from about $305,000 to a little more than $370,000.

Soboslay said borough building spending is increasing by $179,000 because of utilities, insurance and maintenance.

The information technology budget is going up by $68,000 because of a support staff hire made this year.

Funding for a combination splash pad and ice skating rink planned to be built behind the municipal center is not included in the 2024 budget, and Soboslay said it no longer will be built.

“It could come back later on in a different design or even a different location, but for now it is done,” he said.

Revenues

Most of the borough’s general fund revenue, about 39%, comes from real estate taxes; followed by income taxes, 29%; and garbage collection fees, 14%.

In the general fund, the borough is forecasting its revenues to increase by 14%, to $17.04 million in 2024. That includes a 29% increase in real estate tax revenue, from $5.11 million to $6.61 million.

The budget is available for review at the municipal center, 2000 Old Mine Road, from 8 a.m. to 4 p.m. Monday through Thursday and 8 a.m. to 4 p.m. Friday.

Council will take public comment on the budget during its work session at 7 p.m. Monday. It will vote on adopting the budget and property tax rate when it meets at 5:30 p.m. Dec. 13.