Butler Township passes increased budget without tax increase
Despite a proposed increase of about $9.7 million in expenditures, Butler Township’s advertised 2025 budget does not include a tax increase, and the township will maintain the same millage rate it has had since 2010.
Township commissioners approved the proposed budget Monday, Nov. 18, which has expenditures totaling about $21 million — up from the 2024 budget, which included just under $12 million in expenditures. The advertised budget keeps the property tax rate at 11.25 mills, and the budget is balanced. As of October 2024, the value of 1 mill is $164,681, according to township manager Tom Knights.
Jim Lokhaiser, commissioner chairman, said Tuesday that the main reason for the increase is the township’s plan to complete a recreation complex at Pullman Business Park. Lokhaiser said the township is budgeting about $8.5 million for that project.
Additionally, the township plans to expand its police department by adding two officers, bringing the number of full-time officers to 23. Add on the planned purchase of new police vehicles, vehicles for the public works department and rising health care costs, and the leap in budget numbers adds up.
Among the significant nonlabor items the township allocated money to are $1.3 million for health care premiums; $1.1 million for stormwater, road and traffic signal maintenance; $1 million for pension plan contributions; more than $676,000 for debt service payments; and $363,000 for commercial, liability and workers’ compensation insurance.
The township allocated $127,000 toward the purchase of two new police cruisers and fleet maintenance, and $353,000 for a new loader for the road department.
“We're going to buy a couple police vehicles, a couple for the road department, a new loader for the department,” Lokhaiser said. “Health care continues to rise; that's a big hit.”
The township has received half of the $230 million in proceeds from the sale of the Butler Area Sewer Authority — about $40 million of which was used to pay off the authority’s debts and liabilities. The township used about $1.3 million to pay off the municipal building’s mortgage, but Lokhaiser said the remaining money was not considered for use in the 2025 budget.
“We approached this year without the BASA money being involved; we weren't sure if we would get the money or not because of the appeal,” Lokhaiser said. “Next year we're looking at $3.5 or $4 million in interest we could factor into the budget.”
The township expects that revenues in 2025 will increase because of higher wages, additional housing units in Butler Township and inflationary effects on business privilege tax.
Lokhaiser commented that growth within Butler Township has led to some increased expenditures, but also increased revenues. He commended the township’s department heads for continuing to be cost-effective when presenting their budget needs to commissioners.
“It shows great restraint on our department heads,” Lokhaiser said. “They don't ask for exorbitant stuff; they keep their requests reasonable.”
