Budget discussions begin in Vernon

Officials in Vernon Township face headwinds as they begin discussions on the 2026 budget.

“Obligations like steep increases in health insurance, pension increases and three years of zero tax increases before last year’s 7 percent increase are driving 2026 budget issues,” Mayor Anthony Rossi said at Monday night’s budget workshop meeting with councilmembers and department heads.

Last year’s budget of $20,172,838 raised from taxes used $1,650,000 of the $6,018,118 fund balance. Approximately $890,000 of that was replenished, leaving a fund balance deficit of $760,000, Chief Financial Officer Patricia Reiche told the council during a March 23 discussion on the budget.

At Monday night’s budget workshop, department heads and members of the council worked off the 2026 “mayor’s budget,” an initial plan that will evolve as the budget process unfolds.

The working budget of $22,799,121 raised from taxes uses $1,650,000 of a $5,258,118 fund balance with a tax increase of 13.3 percent. Reiche said initial revisions discussed during the work session should bring that increase down to about 12.5 percent.

Councilwoman Sandra Ooms said cuts will need to be made and Councilman Bradley Sparta said no one is satisfied with the working budget. Councilman Patrick Rizzuto suggested looking at fire department and DPW reserves.

Two of the issues Reiche will be looking into before discussions resume at 6 p.m. on April 6, are Lake Conway expenses and when payment in lieu of taxes (PILOT) revenues will hit.

Asked to confirm certain numbers discussed at Monday night’s budget workshop after it ended, Rossi declined.

“I’m not comfortable talking about the budget at this time,” he said. “It is a working document and will change.”