2027 Proposed Budget: In-House Staff vs. Outside Contractors

As Newtown Township finalizes its 2027 Proposed Budget, municipal leaders are balancing steady neighborhood services with rising costs. While total municipal staffing stays flat at 80.5 full-time positions, the Township is changing how several key services are delivered. The budget will be discussed at the 16 November 2026 BOS Work Session. More about that here...

1. The Big Picture: Doing More With the Same Team

80.5 Full-Time Positions
Unchanged

$9.02M 2027 Proposed
Total Payroll

3.0% Overall Payroll
Growth

Total Staff: Unchanged at 80.5 full-time employees.
Total Payroll Growth: Held to 3.0% across municipal government, rising from $8.76 million to $9.02 million.
Public Safety Remains the Top Priority: Police and Fire account for over 75% of township payroll expenditures, with police patrol salaries increasing by 3.7% under contractual agreements.

2. Strategic Changes: In-House Staff vs. Outside Contractors

The Township reviewed whether it makes more financial sense to hire direct township employees or use specialized outside firms. In 2027, two different approaches are being taken.

Bringing Code Enforcement Back In-House

Goal: Lower inspection costs by expanding township staff.

The Problem: Private contractor fees for building and zoning inspections surpassed $487,000 in 2025 and are projected to exceed $522,000 in 2026.

The Solution: The Township is re-establishing an in-house Director of Zoning and Code Enforcement and expanding internal inspection staff from 3 to 4 employees.
The Result: Although in-house department salaries rise by approximately $242,600, outside vendor fees are being reduced in an effort to bring total inspection costs under control.

Using Outside Specialists for Finance & IT

Goal: Use specialized contractors rather than maintain certain permanent full-time positions.

Finance: The full-time Finance Director position was transitioned out. Routine accounting and audit services are shifted to contracted professional firms ($215,000), alongside a part-time HR Director.
Technology: Dedicated in-house IT support staff was phased out. Specialized managed IT vendors ($125,540) will support the in-house IT Director.
Building Cleaning: Dedicated in-house custodial positions were eliminated in favor of existing outside facilities contracts.

3. At a Glance: Department Shifts

Department	What Changed in 2027?	Why It Matters to Residents
Police & Fire	Base pay up 3.7% for officers; full staffing maintained.	Preserves 24/7 patrol coverage and emergency response capacity.
Code & Zoning	Added one full-time Director; expanding in-house staff.	Intended to speed permit reviews while reducing expensive third-party inspection fees.
Finance & IT	Moved routine support to specialized outside firms.	Avoids permanent full-time salary and benefit liabilities while obtaining expert coverage.
Parks & Recreation	Kept at 3 full-time staff; expanded summer camp/program staff.	Maintains township parks, trails and community recreation programming.

4. What to Watch: The Bottom Line for Taxpayers

Hiring outside firms can save money on long-term pensions and healthcare, but hourly contractor rates can increase quickly if not carefully managed.

Moving into 2027, the Board of Supervisors is monitoring these service contracts to ensure taxpayers receive high-quality municipal services at the lowest possible cost.

The Key Question for Taxpayers

Does hiring township employees or contracting with outside firms provide the best combination of cost savings, accountability and quality of service?

The answer depends on comparing total costs, including salaries, benefits, contractor fees and actual service performance.

Source: Newtown Township 2027 Proposed Budget; analysis of in-house staffing and outside contractor expenditures.