Shamokin Area board adopts tentative 2025–26 budget, projects ~$400,000 shortfall; approves homestead exclusion

Shamokin Area School District on Monday adopted a tentative 2025–26 general fund budget after a detailed presentation by district business office staffer Karen. The board also approved a homestead/farmstead exclusion resolution intended to deliver state tax relief to eligible homeowners.

Karen told the board the district’s eight‑year revenue and expenditure review shows the loss of one‑time federal ESSER and ARP‑ESSER funds and continuing cost pressures from cyber‑school tuition and special education. Karen said cyber‑school tuition cost the district about $3.2 million in 2023–24 and is projected at roughly $3.6 million for the current year, and that special education classroom instruction costs were about $8.2 million in 2023–24 with only about 35% subsidized by state and federal sources. “We are gonna have an unbalanced budget by about $400,000,” Karen said during the presentation.

The presentation explained the board’s proposal to raise the millage rate by the Act 1 index (the state index used to compute limited annual property tax increases) and walked through examples of how the state’s homestead and farmstead exclusion affects net tax bills. Karen provided an example showing a homestead exclusion value that would yield a $145.28 reduction in one scenario and described how the exclusion is applied through the county and then to district tax bills.

Board members moved quickly through the formal vote. On roll call the motion to adopt the tentative budget passed. The board also approved the homestead/farmstead exclusion resolution by roll call.

What this means: adoption of a tentative budget does not finalize spending; the district must publish the proposed budget and hold the legally required waiting period before final adoption. Karen noted that final, audited actuals for the current year were not yet complete and that state budget actions can affect the district’s revenue estimates; the board retains the ability to reopen or revise the budget during the year as needed.

Next steps: The district will make the proposed budget available online and in paper form in the business office. Final adoption must occur at least 30 days after the tentative adoption; the board indicated the next scheduled regular meeting will be 06/17/2025, and staff said they will return with updated numbers as the state and federal funding picture clarifies.