CLEARFIELD – On Monday night, the Clearfield Area School District Board of Directors approved the 2010-11 general and subsidiary fund budgets with a 3-mill tax hike.
Sam Maney, business administrator, indicated they didn’t make any changes from the tentative budget, which was previously passed in May.
Maney said the district’s real estate taxes climbed from 86.84 to 89.84 mills at a May 17 meeting. He said the tentative general fund budget calls for $33,390,892 in total expenditures.
He said then local revenue sources were in the amount of $12,472,500; state revenue sources in the amount of $18,735,569; and federal revenue sources in the amount of $1,872,897.
Maney said they’ve anticipated total revenue in the amount of $33,080,966. As of July 1, he said they had a beginning fund balance of $3,431,853, bringing total revenue sources to $36,512,819 for the upcoming year.
At that meeting, Maney said they’ve also proposed the capital reserve fund in the amount of $175,720. He said they estimated an ending balance of $750,483 on June 30. As a result, he said they’ve projected an ending balance of $825,263 for June 30, 2011.
According to a prior GantDaily report, the board held an executive session that spanned more than two hours during its third budget workshop May 12. During private deliberations, they had numerous district administrators come and go from individual meetings with them over “contractual and personnel” issues.
When the regular session reconvened, board President Dave Glass announced that they were still facing an unbalanced budget with a deficit of $650,000. Board members then mulled a tax increase, which varied in size from 2 to 3 mills.
At that meeting, they appeared to agree with administrators who suggested an initial increase of at least 3 mills.
“I’m comfortable with it, but I’m not happy with it,” Glass said. Putt added no one likes or wants to talk about a tax increase, but it almost seemed a must for them to do so.
Because they didn’t raise real estate taxes this year, Maney suggested they sway toward a 3-mill increase for 2010-11. In recent years, he said they have averaged an increase of 1.5 percent.
In agreement, Superintendent Dr. Richard C. Makin said they should set their initial tax increase at 3 mills. He encouraged board members to give it some more thought over the next week.
Maney said the district would receive $350,000 in revenue under a 3-mill increase. In a prior work session, he indicated they could not increase their millage beyond the maximum 3.56 percent, which has been set for them for the upcoming year.
Maney also indicated then that a mill equals approximately $117,000. He said if they raised taxes to the previously stated maximum limit, it would come out in the area of $415,000.