Home » Hopewell Borough Withdraws from PILOT Lawsuit, Passes 2025 Budget

Hopewell Borough Withdraws from PILOT Lawsuit, Passes 2025 Budget

by Mary McIntyre

The Hopewell Borough Council voted May 1 to withdraw from a lawsuit between the borough’s and Hopewell Township regarding PILOT (Payment in Lieu of Taxes) funds, bringing the legal dispute one step closer to resolution

The move came during the start of the Council’s May meeting, following an executive session to discuss litigation under NJS 10:4-12b(7). Council members then unanimously approved Resolution 2025-63, instructing the borough’s attorneys to take steps to withdraw from the lawsuit and seek dismissal.

“This resolution instructs our attorneys to take steps to remove us from the litigation and/or have it dismissed,” said Hopewell Borough Mayor Ryan Kennedy during the meeting.

Hopewell Borough’s decision leaves Pennington Borough as the sole plaintiff in the lawsuit against Hopewell Township, which centers around the distribution of PILOT funds related to affordable housing development. Pennington Mayor James Davy responded to Hopewell Borough’s withdrawal in an April 21 open letter, criticizing Hopewell Township’s $16.1 million PILOT pledge to the school district and raising concerns about fiscal fairness and legal authority. That funding pledge is contingent on the lawsuit’s resolution.

Borough Budget Includes Modest Tax Increase

Also, during the meeting, the Council unanimously adopted its 2025 municipal budget via Resolution 2025-60. The 2.5-cent increase in the local tax rate will add approximately $100 annually for a home assessed at $400,000. Borough officials noted the increase is lower than recent years—down from 3.5 cents in 2024 and 4.5 cents in 2023—with no reduction in services. No public comments were made during the budget hearing.

Water System Sale Review Continues

The Council also provided an update on the potential sale of the borough’s public water system. Officials said they are continuing to review proposals from water utilities and are preparing a public-facing presentation—including digestible graphics—to explain the options ahead of a possible referendum vote in November.

A representative from the Hopewell Borough Public Water Alliance asked whether a grant from the New Jersey Department of Environmental Protection for system upgrades was at risk due to the ongoing sale review. Councilmember David Mackie said the grant was not currently in jeopardy and that the borough is waiting on further guidance from the DEP.

Grease Trap Ordinance Revised

The Council announced modifications to Ordinance 894, which requires annual inspections of grease traps at food service establishments. Following feedback from local restaurant owners, the borough worked with a plumber to revise the ordinance to ease the financial burden on businesses.

A vendor has been identified to conduct inspections for $200, and the borough has offered to cover the cost of initial inspections scheduled for June.

Community Events and Public Comment

Several residents shared updates and concerns during the public comment period.

Scott Fulmer of the Hopewell Harvest Fair committee announced the annual event is set for September 20 and needs volunteers, especially for children’s activities.

Laurie Cleveland thanked the Council for its support in designating parts of the Sourlands as an Area of Critical Environmental Concern and invited residents to the upcoming Mocktail Crawl on May 10.

She also voiced concern about a proposal to replace native perennials in borough planters with annuals, arguing that the existing plants serve both ecological and symbolic value.

“I ask you to see these planters not just as a decorative element to maintain around town, but as a symbol of who we are,” Cleveland said. Information on the planters, including how to sponsor one can be found on the Borough’s website.

Proclamations and Upcoming Events

The Council issued a proclamation recognizing June as Pride Month and noted the upcoming installation of a Witness Stone outside the Old Baptist Meeting House. The memorial, honoring an enslaved individual once connected to the borough, will be installed by Timberlane Middle School students on June 5 from 9:30 to 11 a.m.

Additional events this month include the May 10 Mocktail Crawl, May 16 Cruise Night, May 25 Memorial Day Parade, and the historic designation ceremony for the Old Baptist Meeting House on May 31.

The next Hopewell Borough Council meeting is scheduled for 7 p.m. on Thursday, June 5 at Borough Hall.

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