Saucon Valley: Early budget shows tax increase
A tax increase may be needed in the Saucon Valley School District next year.
At the Jan. 14 board meeting, Superintendent Sandra Fellin presented a $41.6 million 2014-15 preliminary budget.
Fellin told the board an increase might be needed to fund a shortfall of $450,000. According to Fellin, a tax increase would result in a 0.81 mill increase. The millage rate would increase from 51.74 currently to 52.55 mills.
Business Manager David Bonenberger told the board the $450,000 deficit is the result of an increase in workers compensation claims, a 16 to 21 percent increase in retirement funding, 16 percent increase in cyber and charter school funding and a moderate rise in assessed real estate values.
Fellin said a possible source of savings is the retirement of five teachers. Under her recommendation, two of the five positions would not be filled. Also, Fellin said the board could use part of the Public School Employees' Retirement System fund balance or use a portion of the $3.8 million undesignated fund balance to offset the shortfall.
Fellin said the board will further discuss the budget at its March meeting.
"We will continue to adjust the budget," she said. "Remember, this is a preliminary budget."