State College Area School Board on Monday unanimously approved a proposed 2019-20 budget, including a 1.95 percent property tax increase.
A public hearing on the budget is scheduled for May 28, with a final vote scheduled for June 3.
The planned property tax increase is below the state’s Act 1 inflation index limit of 2.3 percent and is a smaller increase than the 2.4 percent hike in the 2018-19 budget.
With the tax increase, the district’s millage rate would increase to 46.0875. The average district taxpayer with an assessed residential property value of $81,128 would see a tax increase of $72 for a total tax due of $3,739 in 2019-20, according to a memo from district administrators to the board.
Administrators initially proposed an increase at the Act 1 limit of 2.3 percent, but in early April presented a scenario for a 1.95 percent increase. The proposed tax rate will generate about $2 million in new revenue, which will be $362,176 less in year one and $4.6 million less cumulatively through 2028-29 than the originally proposed higher rate.
Total revenue in the proposed budget is $163.41 million and total expenses, after capital reserve and fund balance transfers, are $163.28 million.
Expenses are up about $5 million from 2018-19 and include $1.5 million in new staffing and initiatives.
Among the new resources funded in the proposed budget are:
– an elementary special education teacher;
– two additional elementary teachers if the district experiences an anticipated increase in enrollments;
– half-time high school social studies and art teaching positions;
– 1.5 full-time equivalent gifted support teachers; an elementary instrumental music teacher;
– a current faculty member taking on the role of online learning coordinator;
– a psychologist doctoral counseling intern through a collaboration with Penn State’s CEDAR Clinic;
– an assistant director of athletics and advertising coordinator, with funding to be offset by ad revenue– seven new custodian positions to cover an increase of more than 200,000 square feet in the district when high school and elementary construction and renovation projects are completed.
– auditorium support staff, with funding to be offset by facility rental revenue
– increases for professional development, student assessment and International Baccalaureate program costs.
Non-recurring funding includes an update to the district’s reading intervention program; completing the purchase of new marching band uniforms, which are partially supported by SCASD Education Foundation fundraising; and the purchase of a grand piano for the new high school performance auditorium.
In the overall budget, 57 percent of expenses support instruction and 29 percent go to support services. As is typical each year, salaries, health insurance, retirement contributions and other benefits are the biggest cost drivers, totaling about $118 million.
