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By Andrew Mollenauer
amollenauer@altoonamirror.com
HOLLIDAYSBURG -- The Hollidaysburg Area School Board approved a final 2022-23 general fund budget with a slight tax increase of 1.25% Wednesday night.
Residents with a property valued at $100,0000 can expect to pay about $11 more per year in real estate taxes, according to district accounting operations director Stacey Thomas.
During public comment, many residents asked the board for an increase, citing maintaining academic excellence as a primary reason.
Michael Raulins, president of the Hollidaysburg teachers association, said that while an increase isn't necessarily ideal, it would benefit students and others.
"An increase is certainly not popular, but it is the right thing to do for all students in this district, for staff members and for people who don't have a family connection to the district but benefit greatly from a stronger economy when people want to move to Hollidaysburg," Raulins said. "I hope you take into account the interests of our students."
Eileen Smith-Roberts, a district special education teacher, shared Raulins’ sentiment.
"It is fiscally responsible to increase property taxes for the purpose of our students," Smith-Roberts said. "High quality schools are good for businesses for today and yesterday. How you vote here tonight matters in a broader sense. I believe voting against raising taxes is truly a vote against our students and is moving our community in the wrong direction."
Richard Latker implored the board to look at the bigger picture.
"It's not just about raising taxes; it's about deficit spending," Latker said. "This district is spending beyond the means of its constituents and spending more than its constituents want."
An initial motion to approve the budget without an increase was defeated 5-4.
Those in favor of a budget without an increase were Board Vice President Manny Nichols, Ken Snyder, Carmen Bilek and Jennifer Costanza. Those opposed were Board President Nicole Hartman, Doug Stephens, Lonna Frye, Scott Brenneman and Ron Sommer.
Bilek said a tax increase, at best, patches up but doesn't heal what she described as a glaring problem -- the district's spending.
"Raising taxes to Act 1 every year will not get us even close to that deficit," Bilek said. "We have to be fiscally responsible with the money. If we continue to do things how we've done them, a tax increase will not get us out of the hole. What it's going to do is perpetuate doing things the way we've always done them."
Hartman said a tax increase is common sense.
"I'm not willing to pass a budget without a tax increase during inflation when our school is suffering from the same inflation that our homes are," Hartman said. "You have to bring income in. It's unrealistic to believe the district can go on without increasing their funds. A public school is funded by taxes; we know that.
The board then voted on increasing taxes by 1.25%. Those in favor were Hartman, Sommer, Stephens, Frye and Brenneman. Those against were Bilek, Costanza and Nichols. Snyder abstained.
Totals for the upcoming year's revenue and expenditures are projected at $51.8 million and $55 million, respectively.
Compared with the 2021-22 budget, total revenues for the next year are slightly higher.
Local, state and federal revenue figures are nearly identical to those of this past year.
Expenditures for 2022-23 are more than this year's $52.5 million.
The projected deficit for the upcoming year is $3.2 million despite the tax increase.
In May, Thomas said use of ESSR funds in addition to an increase would help combat the deficit.
Mirror Staff Writer Andrew Mollenauer is at 814-946-7428.