The Octorara Board of Directors held their Facilities and Policy Committee Meetings, and the Work Session Meeting on Monday, May 8, 2017. Seven Board members were in attendance. Hank Oleyniczak and Nelson Stoltzfus were both absent.
Final 2017-2018 Budget Vote Countdown
Typically, by this point of the process, there is a level of certainty with the budget. The Octorara Area School Board has already voted to present to the public a 2017-2018 Budget that includes $54 million in expenditures, a 3.2% property tax increase, and a $563,000 expected use of fund balance. In years past, with the exception of some minor updates, that would be the Budget the Board would vote on come June.
However, the very evident public anger over another property tax increase calls this into question. Regardless, the proposed cure may cause more problems than it fixes. We have all seen those pharmaceutical commercials trying to sell you a drug to cure some affliction. But, then comes the list of side effects at the end… may cause insomnia, suicidal thoughts, kidney failure, problems with memory, tremors, nausea, increased appetite and weight gain, fatigue, high blood pressure, and risk of heart attack. Is a cure for toenail fungus really worth all that?
Taxing Less and Spending More
Well, the idea placed into the discussion last month by Brian Norris, and supported by Lisa Bowman, is to have a 2 percent property tax increase, rather than the full Act 1 limit increase of 3.2 percent. The change in the Budget would cause an increase in deficit spending from $563,000 to over $940,000. Moreover, the decrease in revenue, without corresponding budget cuts, will have a compounding effect going into future budgets. This could dramatically impact the financial health of the District. We will start the next budget process with a large revenue deficit before even one new dollar is added for just regular and predictable cost increases. Continue reading