Chester-Upland preliminary budget shows deficit; district posts proposed millage increase to narrow gap

Chester-Upland School District officials presented a preliminary 2025–26 budget at the receivers advisory council meeting on May 22, saying the district faces a multi‑million dollar shortfall and has posted a proposed millage increase to help cover the gap.

The presentation by Miss Gathers, the district finance presenter, said projected revenues for the coming fiscal year are about $172.9 million against expenses of roughly $174.5 million, leaving a preliminary shortfall of about $1.58 million after applying the maximum local millage increase shown on the slides. Earlier in the presentation presenters described larger shortfalls under different assumptions: a $2.8 million operating shortfall and, once the district’s 86% collection ratio is accounted for, an effective billed shortfall of about $3.1 million.

The budget matters because Chester‑Upland relies heavily on state funding and has limited taxable property in Chester city, officials said. Receiver Nichols and staff said the district is constrained by a tax‑index cap set by the Pennsylvania Department of Education (PDE) and by a high share of tax‑exempt properties in the city.

District officials outlined the major drivers of the shortfall. The loss of tax revenue…