May 12, 2020 2 min read

Trinity Area School Board held its first ever virtual meeting Thursday, when directors approved a preliminary 2020-21 operating budget that does not include a tax increase.

The $61,171,522 spending plan holds the millage rate at 13.65, amid concerns of a reduction of state aid and other revenue sources because of COVID-19.

“At this time, the administration and board of directors are definitely recommending no tax increase for the 2020-21 school year. There will be no increase in taxes,” said Dr. Michael Lucas, superintendent. “We are concerned about the loss of revenue this year and next year, but we are going to make it work. At this time, Trinity Area School District thinks it is a terrible time to raise taxes.”

The budget takes into account contracts and other known costs, including Pennsylvania Public School Employees’ Retirement System increases, but other other revenue sources including Earned Income Tax and real estate tax are unknown, said Taylor Hott, assistant director of fiscal services.

Hott said the school district anticipates lost revenue estimated at between $1,075,000 and $2.4 million.

“There are a lot of unknowns out there, and we have not reflected those in the budget at this time, so if there’s more of a reduction, we will have to find more money to cut to balance the budget,” said Hott.

Options include removing all equipment purchases from the general fund and make them from the capital reserve account; freezing supply requests; and looking for savings in the transportation and maintenance budget.

The district also could consider using a portion of the fund balance, which was $4 million at the end of the last school year. The board will adopt a spending plan at its June 18 meeting.