The Altoona Area School Board voted against raising real estate property taxes, despite a projected 3% tax increase in the district’s 2025-26 preliminary budget.

During a meeting Monday, the board voted 7-2 against approving the preliminary budget with a 3% tax increase, with board members Chris Cook and John Romanowicz voting in favor of raising the district’s tax millage rate from 7.0877 mills to 7.3003 mills.

The board then unanimously voted to approve the final 2025-26 general fund budget with its current tax millage rate. Expenditures in the budget are listed at $125,791,510, which leaves the district with a deficit of about $2.4 million, business manager Sue Franks said.

Franks said the shortfall will be paid out of the district’s unreserved fund balance of about $34 million.

Board President Val Mignogna said he believes it would be irresponsible to impose additional taxes on the district’s citizens with that amount of money in its fund balance. Last year, the board voted for a 5% tax increase and in addition to the revenue generated, the district unexpectedly received an additional $3 million in state revenue, he said.

Prior to voting on the final budget, board member Michael Pappas said he agreed with Mignogna.

“We need to give them (taxpayers) a break this year,” Pappas said.

Had the board voted in favor of a 3% increase, the local revenue would have generated an extra $675,219 for the district, which would’ve put Altoona Area’s deficit at about $1.7 million, Franks said.

Under the Homestead/Farmstead property tax exclusion, the median homeowner with an average property value of $108,000 will see a tax decrease of about $29, Franks said, noting 12,126 property owners in the district are eligible for the exclusion.

That number has decreased by nearly 200 people from last year, she said, adding because of the reduction in the number of people eligible and the increase in the exclusion’s allowance from the state, eligible property owners still would have seen a decrease of about $6 had the board voted in favor of the 3% tax increase.

After the meeting, Mignogna said he doesn’t believe the board did any harm to the district by not voting in favor of a tax increase.

“With a fund balance of $34 million, I couldn’t find it within me to impose any more taxes on the community. That $34 million is taxpayer money. We can go a year without raising taxes and send a positive message to the community,” Mignogna said.

According to Mignogna, the school district is managed well by Superintendent Brad Hatch and his team, which has put Altoona Area in “a terrific position to be able to give the community a break.”

“I think any positive gesture to the general public should be welcomed and can only be good for everybody. I think the board was supportive of that,” Mignogna said.

During the meeting, the board also approved a special education aides collective bargaining agreement with the American Federation of State, County and Municipal Employees union. The three-year agreement runs through Aug. 14, 2028.

In his report to the board, Hatch said the district has made “significant increases” to the rates and compensation plans for its special education aides and encouraged people who “would like to work with very needy students” to submit an application.

The district interviews for special education aides every Friday and is in need of about 40 additional aides, Hatch said.

“It’s a very worthwhile, very needed occupation,” Hatch said. “The new contract is very attractive. To those (who are interested), we encourage you to apply.”

Mirror Staff Writer Matt Churella is at 814-946-7520.