MIDDLESEX TWP — Supervisors began discussing the 2021 budget last Wednesday at a work session.

Taking into account the circumstances of this year and 2021 expectations of the township, Middlesex leaders looked to township manager Adam Hartwig for ideas about how to plan for the future.

Presenting his preliminary plans for the 2021 budget, Hartwig suggested the supervisors consider new ways to break down millage.“Currently, we're at a 12-mill tax structure,” Hartwig said.In the 2020 budget, 1.5 mills went toward fire tax, 1.5 mills went toward debt service and 9 mills went toward the general fund.One mill is about $70,000 for the township, according to Hartwig, meaning 1.5 mills is about $105,000.“Our debt service tax is coming due next year,” Hartwig said. “We either have to take on new debt or keep the debt service tax going until the debt service tax goes away.”Hartwig, who joined the township this year, said he proposes keeping the 1.5 mills fire tax and redirecting 10.5 mills toward the general fund.This would do away with the debt service tax altogether.Hartwig said while the township is growing and needs to replace equipment often, it's not at a level where debt service is fundamentally needed.“We're in a position now where our debt ... is not driving the need for us to have a debt service tax,” Hartwig said.Hartwig said the tax the township has now would actually cause it to take on debt next year in the form of a large capital project.“I don't believe that's the right way to go about it,” Hartwig said.Hartwig said by restructuring the millage, the township could invest more in future projects, infrastructure and major purchases.“We're not raising taxes,” Hartwig said. “It's a different look.”“It's a different label,” said Mike Spreng, supervisor chairman.

Hartwig said he's working to establish a capital improvement program that would consider the life and depreciation cycle of township vehicles.“What I would like to work to create is a replacement program,” Hartwig said.Many township vehicles, such as dump trucks and police cars, are scheduled to be replaced after so many years, according to Hartwig. He argued if these vehicles are still usable when they are scheduled to be traded out, the township should keep them.While the township may need to update vehicles every few years due to existing contracts, Hartwig argued cycling them out could be slowed down.By putting the money vehicles depreciate annually toward the capital fund, Hartwig said the township could get to the point of paying cash for vehicles 15 years down the road.Spreng said the township has been able to set aside money in the past in a similar manner.“We get our money's worth out of (township equipment), for sure,” Spreng said.

Although he's still working on the 2021 budget, Hartwig said he's considering a public safety budget of $560,643. Public works will probably be budgeted for $1.2 million.Hartwig said tentative revenues are estimated at $846,000 in real estate tax; $1,140,000 in earned income tax; $60,000 in local service tax and $300,000 in real estate transfer tax.The township's general fund 2021 revenues are expected to total about $3.143 million. Hartwig said interfund transfers mean about $3,411,964 will be available for appropriation.The township is still evaluating expenditures, but Hartwig estimated them to be about $3.4 million.Supervisors anticipate giving the budget preliminary approval this month, with final approval being granted in December.

Hartwig told supervisors the township should expect to “scale back” liquid fuels projects next year due to decreased allocations.“Our allocation for next year — at most — will be $268,313,” Hartwig said.Hartwig said between the number of fuel efficient vehicles on the road, recently cheap gas and oil prices, and limited traveling during the pandemic, liquid fuels will probably be lower for the next two years.