Peters Township School District may raise taxes
Peters Township School District took the first step toward possibly raising property taxes to cover nearly $4 million of anticipated – and mandatory – expenses, such as teacher salaries, health benefits and retirement contributions.
“We are laying out preliminary numbers,” said Superintendent Jeannine French. “It does not mean there will be a tax increase.”
School board members were given a peek Monday at 2015-2016 anticipated district expenditures, which total $60.4 million, up $3.99 million from this school year’s expenditures of $56.4 million. The largest anticipated increases for next year are teacher salaries, which will total $1.21 million, and retirement contributions that will come to $1.74 million, a district budget presentation shows. Other anticipated expenditure increases include health-care costs, which are expected to climb by $200,000, and the debt service, which will go up by $181,462.
State subsidy increases for Social Security, retirement and transportation, as well as increases in local real estate and earned income taxes, will help offset some of the $4 million hole. But the district is still faced with a total budget gap of $2.82 million.
The fiscal year for the district ends June 30, which means a new budget does not have to be approved until June 2015. This also means it will not be known until that time if the board will raise taxes in the township.
District spokeswoman Shelly Belcher said there are certain state deadlines the district must adhere to when it is seeking exceptions to possibly raise taxes higher than the mandated cap of 2.03 mills. To close the 2015-2016 budget shortfall as it now exists, property taxes would have to be raised by more than eight mills.
If the district wants to seek exceptions from the state Department of Education again, a proposed budget must be passed Feb. 18. Belcher said the board will meet Jan. 12 to further discuss the budget.