VALENCIA — Residents will see no tax increase next year. The borough will reach into its savings to fund expenses as well as make use of a state program to help with financial difficulties.

The $125,894 budget draws $39,483 from the borough's savings to pay for the increased costs of fire and police protection, new stormwater management regulations, mandated 911 radio upgrades and recurring engineering costs.

Council members approved the budget at their meeting earlier this month.

The borough also allocated $20,000 in savings to fund its efforts in the Early Intervention program through the Department of Community and Economic Development. Earlier this year, the borough reached out to the department to apply for its Early Intervention Program, which provides matching grant funds to aid struggling municipalities develop financial plans and establish goals.

Municipalities that are accepted into the program can be eligible for up to $200,000 for 50 percent of the program's total cost.

The borough has been working with the department's local government specialist, Ed Fosnaught, to prepare the necessary documents and proposals.

“We completed our draft request for proposal,” Shanon McKenna, council vice president, said. “Last month, we discussed reaching out to the contacts Mr. Fosnaught provided for people qualified to participate in the program.”

These contacts are mostly private financial and local government specialists with experience working with the state or local governments, and are provided by the department for the borough to reach out to and possibly hire to help the town with its financial difficulties.

Since November, the borough has received proposals from interested individuals, McKenna said, but the council cannot vote on or consider these until the borough sets a deadline for submissions.

This also gives council members a chance to see which kinds of proposals are submitted before having to vote on which to go with, he said.

McKenna said the program is an expensive, but necessary, step to get a grip on the borough's struggling finances.