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Article published January 18, 2012
BUDGET GAP SV seeks exceptions to help plug deficit
JACKSON TWP — The Seneca Valley School Board on Monday night approved a preliminary budget for the 2012-13 school year and also voted to apply for state exceptions to help plug a $4.8 million deficit. Those exceptions, if granted, would allow school officials to enact a property tax increase that is larger than currently allowed by the state. That level, called an index, is set at 2 percent, which for Seneca Valley equates to 2.11 mills. That means that if the board decides it needs to raise property taxes by more than 2.11 mills, it will first need approval from state officials to do so. District officials said they expect to get a decision back from the state by the end of February. Last year, the board raised property taxes to 105.6 mills, up from 100 mills. A mill generates $1 for each $1,000 of a property’s assessed value. Board member Eric DiTullio said during the meeting that while he’s not an advocate of any kind of tax increase, applying for exceptions is the right move to ensure the board has every option on the table when it comes to plugging the deficit. DiTullio added he hopes the board would only use the exceptions as a last resort. “We have no other option but to keep every avenue open,” he said. Board member Jim Nickel agreed with DiTullio and said he, too, is against a tax hike but added that the school board has an obligation to provide a quality education to its students and must act accordingly. The preliminary budget voted on Monday night plans for $94.8 million in revenues but with $99.6 million in expenditures, according to business manager Lynn Burtner. However, the business manager cautioned that the numbers are extremely preliminary and added that revenue projections could fluctuate. Gov. Tom Corbett is expected to give a budget address in early February, Burtner said, which is when the school district will learn how much it will get from the state this year. Burtner called that funding the “critical missing piece” in terms of moving forward with budget planning. She added, however, that after the board’s approval of the preliminary budget, painful discussions will soon ensue on ways to balance the final spending plan.