School board sees no tax increase

By Monica Pryts
Herald Staff Writer

GREENVILLE AREA May 14, 2008 10:31 pm

— Greenville Area School District’s proposed budget for the 2008-09 school doesn’t include property tax increases.
“That’s great for the taxpayers of our community,” said Dennis Webber, chairman of the school board’s budget committee.
Webber told the board Wednesday that taxes are expected to remain at 55.86 mills because the district’s staff and administration worked hard over the past year to keep costs down.
“It’s a ton of work to put this budget together,” he said.
The tentative budget of $17,065,963 is comparable to last school year’s spending plan of $16,533,420, with some costs like labor and utilities rising, Webber said.
Even with a slight spending increase, the budget committee determined a tax hike isn’t needed. School staff completed a thorough inventory of supplies to ensure there’s no excess and are planning to buy only what’s needed, Webber said.
Taxes were increased by 1.33 mills for the current school year.
A mill is $1 for every $1,000 of a property’s 1970 market value. At 55.86 mills, a property assessed at $10,000 would carry a tax bill of $559. One mill brings the district about $90,000.
The board will vote Monday on adopting the preliminary budget, which will then go on public display for 30 days. They’ll vote on the final budget at their June 16 meeting.
Also, board members adopted a resolution to refinance two bonds the district took out to fund renovations in the late 1990s. The resolution says the amount of the bonds won’t exceed $9,500,000, the amount remaining on the bonds.
Lou Verdelli, a financial advisor with RBC Capital Markets, Harrisburg, told board members that by refinancing the bonds, the district will eventually save about $223,000.
The district covers Greenville and Hempfield and Sugar Grove townships.