Schools

North Allegheny School Board Approves Preliminary Budget, Tax Hike

The spending plan reduces a projected deficit from $5.7-million to $750,000.

After hearing a lengthy presentation by Superintendent Dr. Raymond Gualtieri, the North Allegheny School Board voted 8-0 Wednesday to approve a preliminary budget for the 2013-14 school year.

Administrators managed to trim a $5.7-million deficit down to $750,000 through a combination of cuts, staff retirements, tax increases, and better collection of earned income tax now that employers are required to take the tax out of paychecks.

District business manager Mike Hopkins said taxes must be raised to balance the budget. By law, the district is limited to a rise of 0.6 or 0.7 mills.

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Should the school board decide to close Peebles Elementary school, as recommended by the administration, the district may see a budget surplus.

Gualtieri said $800,000 would be saved in operational costs if Peebles would close, and if the building is leased, the district could collect another $600,000.

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Should the board decide not to close Peebles, Hopkins said further capital improvements would have to be delayed.

Board member Christopher Jacobs acknowledged the current budget is a "rough draft" that could be impacted by many factors, including hundreds of property assessment appeals.

The board must take final action on the budget by the end of June.

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