Cornwall-Lebanon proposes 2025–26 budget that would use fund balance, raise millage

Cornwall-Lebanon School District presented a proposed final budget for 2025–26 at its May 12 work session showing a projected shortfall that staff said would require use of fund balance and a proposed tax increase.

The presenter said total expenditures were projected at "not quite $110,000,000" and total revenue at about $106.5 million, leaving a gap of approximately $3.3 million. To balance the budget staff proposed using assigned fund balance and a 4.8% tax increase; staff quoted a proposed millage of 19.269.

Why it matters: staff said the proposed budget reflects substantial mandated costs, including employer retirement contributions and increased special-education and transportation expenses. The presenter said employer retirement costs are projected at $14.5 million and noted the state reimburses roughly 50% of retirement costs; the meeting presentation said the state reimbursement included in revenue would be approximately $7.25 million.

Other budget details presented: - Certified tuition rates for 2024–25 were reported by staff as $12,370 for elementary and $13,528 for secondary (PDE certification referenced). - Cyber charter costs: staff reported 182 Cornwall-Lebanon students enrolled in outside cyber schools and said the district’s cyber tuition line is increasing; the transcript noted per-pupil cyber tuition figures of $12,663 for regular tuition and $30,000 for students with IEPs but did not provide a complete line-item total in the presentation. - Property tax relief: staff reported a property tax relief allocation to Cornwall-Lebanon of $2.2 million and estimated the homestead/farmstead benefit would reduce the median homeowner’s bill by roughly $123 after the allocation is applied (staff also used an example assessed value of $172,700 and estimated a per-property reduction of about $210 for homestead/farmstead-eligible properties depending on approvals).

The presenter outlined capital/debt planning tied to ongoing renovation projects and said the district is allocating annual amounts into a reserves plan to smooth future bond payments. Staff asked the board to approve the proposed final budget at next week’s meeting so staff can file required documents with the Pennsylvania Department of Education and continue to refine figures before final adoption in June. No final budget vote occurred at the May 12 work session.