Burrell School District Facing Financial Challenges in Finalizing 2024-2025 Budget
Property Tax Hike:
Burrell School District officials have announced a 5.8% property tax increase in the final budget of $36.6 million for the 2024-2025 school year. This increase brings the district's millage rate to 117.5, the highest in Westmoreland County.
Reasons for Increase:
The district needed a 4.5-mil increase to cover operating costs and an additional two mills to fund future bond payments for capital projects, including potential closures and expansions of school buildings.
Financial Challenges:
Factors contributing to the tax hike include rising costs in special education services, cyber school tuition, and employee medical insurance. The district has also experienced a decrease in federal revenues and assessed property values.
Challenges Ahead:
The district has struggled with minimal natural growth in assessed values, resulting in limited revenue without tax increases compared to other districts in the county. Additionally, declining demographic ratios impact state subsidy funding received by the district.
Budget Approval:
The school board was divided on approving the budget, with a majority voting in favor of the tax levies for the upcoming year. Some members expressed concerns about the impact of the millage increase on residents, while others emphasized the need to address financial challenges promptly.
In a challenging financial landscape, Burrell School District is navigating tough decisions to ensure financial sustainability and support for its educational initiatives.