Montoursville Area SD board approves proposed $35.84 million general-fund budget with 0.18 mill for advertisement; final adoption set for June 10

Brandy Smith, the district business manager, presented the proposed final general-fund budget for fiscal year 2025–26 and fielded questions from trustees.

Smith walked the board through revenue and expenditure line items: local revenue was listed at $18,903,465 (53.16% of the proposed budget), state revenue at $16,295,695 (45.82%), and federal allocations at $362,451 (1.02%), producing total proposed revenue of $35,561,611. Expenditures were presented as $35,837,014, which the presentation said creates a $275,403 operating deficit in the proposed budget. Smith highlighted funding pressures including a larger-than-expected Intermediate Unit contract increase ($195,004.95) and projected increases in utilities and insurance; she also noted the district is not including the Leiter capital project in this operating budget (the project will be handled through a separate capital process).

Smith explained fund-balance projections: the district began the prior year with about $3.9 million and expected a June 30, 2025 projected balance of roughly $3.6 million; under the proposed budget the fund balance would be estimated near $3.3 million. She presented illustrative millage options and the effect of homestead-credit flow-throughs, noting that with the state homestead credit the median homestead tax bill would show a $35 decrease under the no-increase scenario but trustees discussed a 0.18 mill option that would roughly preserve operations while reducing pressure on fund balance.

After discussion the board voted to approve the proposed final general-fund budget in the amount of $35,837,014, including the 0.18 mill increase, for public advertisement and scheduled the final adoption vote for June 10, 2025. The board also approved other routine business items and multiple combined agenda items and personnel recommendations earlier in the meeting by voice votes and roll calls.