Perkiomen Valley School Board OKs Preliminary Final Budget

Reiterating to the gathered community members that the budget was not “set and final,” the Perkiomen Valley School Board approved the preliminary final 2011-12 general fund budget Monday night.

Capt. Sam Schweigert was the lone “no” vote on the budget, which currently projects a 3.11 percent tax increase. The millage rate would be 29.01 mills, so the annual tax bill for a home assessed at $180,000 would see a $157.33 hike, according to the presentation by Business Administrator Jim Weaver.

The Pennsylvania Department of Education (PDE) granted the district two exclusions—special education expenditures and retirement contributions—so taxes could soar to a 4.6 percent increase without a referendum, Weaver said. He noted that the preliminary budget, with a 3.11 percent increase, was technically a balanced budget.

Without exclusions, the district would be allowed to raise taxes a maximum 1.6 percent before needing a referendum, according the Act I index.

The usual Act I index allows for a 1.4 percent hike, but this year, the district's aid ratio was set at .4082, indicating the commonwealth considers Perkiomen Valley a "poorer" district. The PDE states aid ratios "represent the combined market value and income wealth for each pupil in a school district."

However, after passing the preliminary final budget, board members discussed which items—described as “shared pain” or “gut wrenchers” by April’s attendees—could be cut to bring the tax hike down to 1.4 percent.

The present preliminary figures include revenue cuts and raises the town hall crowd said had "minimal pain." This included parking fees going from $25 to $50, a surcharge on ticket sales districtwide, an activity fee of $50 per student and increasing rental fees by 50 percent, according to the presentation.

To whittle down the tax increase to its current projected percentage, the board needed to either make enough cuts or raise enough revenue to close an $861,614 shortfall, Weaver said.

With the board's suggested adjustments—such as eliminating positions through attrition, changes to bus routes and cuts to some sports programs—the more than $861,614 shortfall was eliminated and cushioned by another several thousand dollars. The proposed changes must be revisited in June due to several contingencies, board President Lynn Bigelow said.

Items such as the third-grade strings program, K-5 Spanish and library aides remained untouched. In recent weeks, parents, students and teachers attended board meetings to advocate saving these various programs and positions. Monday night was no exception, with several elementary school students, parents and teachers urging the K-5 Spanish program to be saved.

Other community members in attendance addressed the board, noting that rising taxes were placing a financial burden on many in the district, particularly those on a fixed income.

More details to come today.