Carlisle’s 2026 Budget Unveiled: What Residents Need to Know About Rates, Roads, and Fire Safety | Carlisle Borough 2026 Budget Hearing Meeting on November 17, 2025
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The Borough of Carlisle Council held its fiscal year 2026 budget hearing on November 17, 2025, detailing our community’s comprehensive financial plan for the coming year. The budget, totaling over $58.3 million, reflects the goals of the Borough Council and forecasts revenues and expenditures across all operations, including public safety, infrastructure, and utilities. While we anticipate stability in our property tax rate, we will see increases in water and solid waste fees necessary to fund major capital projects and meet contractual obligations. The budget confirms our commitment to maintaining high-quality services while managing rising costs and planning for future needs, positioning the Borough for continued strong financial performance.
The fiscal year 2026 proposed budget includes eight essential funds:
- General Fund
- Water Fund
- Sewer Fund
- Storm Water Fund
- Parking Fund
- Solid Waste Fund
- Highway Aid Fund
- Capital Projects Fund
General Fund Balances Services Against Capital Needs
The General Fund is our community’s largest operating fund, covering essential governmental services like police, fire, streets, and recreation. The 2026 budget for this fund totals just over $17.6 million to achieve balance. The proposed plan uses approximately 1.7 million from our fund balance reserves, with 73% of that amount dedicated to capital projects. We will see no increase in our property tax rate for general or fire purposes, keeping our mill rates the same as 2024. Officials noted that costs continue to rise, which will increase our future reliance on reserves. Key capital efforts funded include completing the Carlisle Connectivity Project and purchasing a new fire engine. The Borough maintains the strong financial standing of a double A1 credit rating, the second highest available.
Water Fund Requires 11% Rate Increase for Major Upgrades
The Water Fund has budgeted revenues and expenses exceeding $13.1 million to keep up with necessary funding for increased capital projects. Based on a 2024 rate study, we are proposing an $11 increase. This increase means the average single user will pay about $7 more per quarter, and an average family of four will pay about $26 more per quarter. These funds are vital for large infrastructure projects, including the water system rehabilitation project (such as replacing water mains on East High Street and York Road) and allocating $3.5 million in 2026 for the Ridge Street tank replacement project. Despite the rate increase, the anticipated total utility bill for Carlisle residents remains lower than many of our municipal neighbors.
Sewer Fund Rates Remain Stable
Our Sewer Fund, with budgeted revenues and expenses around $10.2 million, is in a healthy financial position. The Borough is not proposing any changes to the sewer rates for 2026. This decision was made despite third-party consultant recommendations for potential increases. We will utilize fund balance reserves to cover key capital projects, including $1.5 million for the continuing sewer system rehabilitation program and $1 million for the design and permitting of the bio-solids upgrade.
Storm Water Fund Avoids Fee Changes
The Storm Water Fund is budgeted at $2.8 million for 2026. We are not recommending any fee changes for storm water services. The current budget allows us to proceed with key capital improvements, such as the Orange Street Basin retrofit (conversion to a wet retention pond, budgeted at $350,000) and beginning the design for new best management practices at Thornwald Park. Officials noted, however, that the stormwater fund’s rate structure, last analyzed in 2019, will be re-examined for possible future adjustments.
Solid Waste Fees Will Increase Due to Contract Terms
The Solid Waste Fund tracks our trash collection and recycling contract, which operates largely as a pass-through fund. Due to existing contractual obligations, the rates will increase. Residential customers can expect to pay $91.89 per quarter per dwelling unit, and additional trash tags will cost $9.92. Borough Council is also exploring a major change for the future, budgeting $600,000 for startup costs associated with potentially bringing solid waste collection in-house by 2028. A recent customer survey showed that while the majority of people were satisfied with the service provided, they were unhappy with the expensive nature of the program.
Parking Fund Focuses on Technology and Maintenance
The Parking Fund, budgeted at about $1.2 million, will see no changes to parking rates in 2026. The main goal for this fund is capital maintenance and technology upgrades. We will use $145,000 to replace the garage gate system at the Pulford Street parking garage because the current system is obsolete. Additionally, repairs and maintenance identified by a consultant, such as facade recoding and updating column coatings, are scheduled. The department also plans to install approximately nine additional kiosks downtown to replace older, single-head parking meters. Residents can stay informed about parking changes through the Borough website [External Link].
Highway Aid Fund Boosts Transportation Improvements
The Highway Aid Fund, budgeted at $764,000, is dedicated entirely to receiving the state liquid fuels allocation for transportation-related capital improvements. We plan to use the full 2026 allocation and draw from our accumulated fund balance reserves to cover a full year’s worth of transportation projects. The Department of Transportation and Waste Management continues to collaborate with entities like UGI and PennDOT to coordinate paving projects and advance the Vision Zero mission of achieving zero fatalities on our transportation network (Learn more about state transportation funding.
Conclusion
The fiscal year 2026 budget, totaling over $58.3 million, provides the framework for sound decision-making as we look to our future. It outlines our community’s commitment to advancing the strategic plan by funding police, fire, street maintenance, and utilities. While we are balancing stability in property taxes with necessary increases in water and solid waste fees, the overall focus remains on high-quality service delivery. As Council member Shiles noted, “…we don’t place uh any any more burden on our residents than than is necessary to deliver the very high quality services that you and all the folks in your departments provide”. We encourage residents to review the proposed budget ahead of the December 11th public hearing.
👀 Watch full 2026 Budget Hearing:
