School Board To Consider $202M Preliminary Budget

The Council Rock School Board will consider approving a $202.7 million proposed preliminary budget for 2012-2013 during its meeting Thursday. 

The proposed budget represents an increase of 2 percent over the 2011-2012 spending plan. If approved, the board can still make revisions and changes to the budget, which will be up for final approval in June.

Residents who can’t attend Thursday’s meeting will still have a chance to learn more about the proposed budget at a forum on May 16. The forum, which begins at 7 p.m. at the will provide the chance for residents to learn more about the district’s finances for the 2012-2013 school year

According to the preliminary budget, Council Rock is expecting a decrease of more than $2.3 million in state funding. In 2011-2012, the state provided $36.7 million in subsidies for the district.  Next year, Council Rock expects to get $34.3 million from the state.

The district is also facing revenue challenges due to the downturn in the economy.

“One of the most significant impacts of the downturn in this economy for Council Rock has been the stagnation and/or decline of real estate value, real estate sales, and corresponding decline in real estate taxes,” according to an explanation provided with preliminary budget.

In 2011, nearly 1,000 taxpayers filed for assessment reductions, resulting in a decrease of $1 million in revenue for the district, according to Council Rock officials.

“In 2012, the number of taxpayers seeking reassessment was significantly less. We don't know, now, whether that reduction in reassessments was due to a strengthening real estate market or the exhaustion of the pool of homeowners who could realize savings on real estate reassessments,” the budget summary said. 

The district is also experiencing a 60 percent decrease in transfer tax collections from 2008-2009 revenues – a loss of between $1 and $2 million. “That revenue stream will improve when the economy recovers and sales of existing and new homes improve,” according to the budget summary.

Click here to view the full preliminary budget.