Politics & Government

School Board Approves 4.84 Percent Tax Hike

In a split decision, Bethlehem Area School Board approves a preliminary final budget that will increase school real estate tax by 4.84 percent.

 

The Bethlehem Area School Board approved a preliminary final budget Monday that will increase school real estate taxes by 4.84 percent, in a split decision, according to The Express-Times.

Under the tentative budget for the 2012-13 school year, expenses will increase from $203.8 million $212.5 million.

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Among the biggest increases in cost to the district for the coming year is an increase of $3.4 million into the Public School Employees’ Retirement System. Salaries and health insurance costs for employees are expected to increase by a combined $2.8 million.

The proposed tax increase is 1.23 mills higher than the state’s Act 1 index alone would have allowed. The Pennsylvania Department of Education approved district exceptions for school construction, debt, special education expenses and retirement expenses, allowing for a tax increase of up to 5.92 percent.

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The proposed tax increase is for 2.17 mills. A mill is a dollar for every thousand dollars of assessed property value. The new tax rate would be 47.09 mills, up from the current rate of 44.92 mills.

A taxpayer with a home assessed at $50,000 would see their school real estate taxes go up by a little more than $100 for the year if this budget is given final approval. Final adoption is scheduled on June 18.

Board members Michele Cann, Irene Follweiler and Eugene McKeon dissented from the majority in a 5-3 vote in favor of the proposed budget. Board member Sudantha Vidanage was absent from the meeting.


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