A court ruling has stopped Upper Darby Township from enacting its earned income tax (EIT) as planned, blowing a roughly $15 million hole in the 2025 budget. Common Pleas Judge Spiros E. Angelos invalidated the township’s Sept. 4 ordinance that enacted the 1% EIT because it violated the township’s home rule charter. He said the ordinances were made at the first of two September meetings, which are intended to be a workshop format meeting where final action is discouraged and reserved for emergency circumstances only. “The loss of the EIT in January of 2025 will hurt this township immensely,” Mayor Ed Brown said. “The anticipated revenue was going to be used for capital improvements, the hiring of police officers and re-establishing our fund balance to improve our financial outlook and credit status.” Chief administrative officer Crandall Jones presented six scenarios the township could pursue for the budget — including implementing the EIT in July 2025 and then rolling back the millage rate in 2026. Following Jones’ presentation, council moved to raise the real estate tax by 1 mill to 15.02 mils. The township will hold budget hearings on Dec. 18 and 19.
Source: Daily Times; 12/11/2024