CHESTER TOWNSHIP, N.J. (Morris County) — Chester Township officials are proposing a 2.54% increase in the municipal budget, driven primarily by rising healthcare costs and efforts to maintain financial stability, according to Mayor Tim Drag.
For the average homeowner, the increase would amount to about $80 annually in the municipal portion of the tax bill.
“Our Council is committed to keeping Chester Township financially sound while continuing to deliver the services residents have come to expect,” Drag said.
Officials said maintaining a strong fund balance remains a key priority in the budget. Drag compared the fund balance to a financial safeguard.
“Just like a shock absorber cushions a car from bumps in the road, a strong fund balance helps protect our budget from unexpected expenses, economic downturns, or emergencies,” he said.
He added that maintaining reserves helps the township avoid sudden tax increases and ensures services remain stable.
“With the uncertainties in today’s economy, a responsible fund balance is more important than ever,” Drag said.
The mayor noted that in recent years, higher interest rates and one-time revenue sources helped support the township’s finances, but those conditions are no longer expected to continue.
“With neither on the horizon, we need to ensure we live within our means,” he said.
Drag said they are also reviewing capital spending and ongoing expenses to identify potential savings.
“Our goal is to ensure we extract every ounce of value from every dollar we spend,” he said.
A hearing on the budget and tax resolution will be held May 5, 2026, at 7 p.m., at which time objections to the 2026 budget and tax resolution may be presented by taxpayers or other interested parties.
Officials said the proposed budget reflects a focus on long-term financial stability while maintaining transparency and core services for residents.
