Committee approves 2026 minimum municipal obligations for uniform and nonuniform pensions

The Finance Administration Committee voted on Sept. 18 to approve and forward the 2026 minimum municipal obligations (MMOs) for the borough's uniform and nonuniform pension plans. The committee's approvals will be presented to Borough Council as required by state law.
Staff said the MMO process uses current wage estimates and actuarial formulas to calculate the borough's required contribution for the coming year. "The MMO is the minimum municipal obligation, and it's required the borough is required to pay the MMO for both of our pensions," a staff member explained to the committee.
The committee reviewed specific figures presented by staff. For the nonuniform plan, staff said the MMO totaled $92,672.62. For the uniform plan, staff cited an amount of $442,925 (staff discussion referenced state aid and net contribution figures). Committee members asked whether the state aid is recurring; staff replied that the borough receives state aid each year unless the law changes.
Action: the committee moved and approved both MMOs and will forward the numbers to council for the formal September approval that the statute requires. Staff noted the borough must make the required payments by Dec. 31, 2025.
Context: MMOs are annual actuarial obligations that local governments must adopt in September under state pension law; the committee's action is the standard annual approval step in the budget calendar.