Gettysburg Area SD board hears 1.5% proposed tax increase; members debate trimming 0.5% to protect fund balance and capital plan

Gettysburg — At a public budget hearing May 20, Gettysburg Area School District business staff recommended a proposed 1.5% tax increase for the 2025–26 fiscal year, prompting board discussion about whether to remove a 0.5% portion and use one-time audit adjustments or fund balance instead.

Belinda, the district business office presenter, told the board that the administration's recommendation is “a 1 and a half percent increase.” She said the total proposed revenue shown in the presentation ties to a roughly $77 million revenue estimate and about $79 million in proposed expenditures, with salaries and benefits representing the largest expenditure slice (about $47 million).

The recommendation included dedicated funding for ACTI (the county career and technical program). Board members pressed options for reducing the taxpayer increase by 0.5 percentage points while maintaining near-term capital funding and the board's chosen fund-balance guideline.

Why it matters: The district projects declines in federal one-time pandemic-era funding (ESSER) and is using fund balance as a backstop in the short term. Business staff presented a five-year projection showing that without additional revenue the district could face cumulative deficits, and that the fund balance target under district policy is 6% to 8% of expenditures. The board must adopt a final budget June 16 after a review and a recommendation on June 2.

Key budget details and context

- Composition of revenue: The presenter said local sources make up about 68% of revenue, state about 30.7% and federal the remainder; the proposed total revenue is roughly $77 million. - Major expenditures: The budget slides shown to the board list…