Mill Creek board committee moves proposed 2026–27 final budget and 4.3% tax increase to full board

The Finance & Operations Committee moved the Mill Creek Township School District’s proposed final general fund budget for 2026–27 to the full school board on May 11, setting the item for consideration at the district’s May 26 meeting.

Chief Financial Officer Aaron O'Toole told the committee the proposed numbers show revenues of $127,638,846 against expenses of $127,876,869 after an administrative reduction of roughly $793,750 intended to address a structural deficit. The presentation included a multi-year forecast that assumes recurring levy increases tied to the Act 1 index (the discussion referenced a 4.3% figure for the current cycle) and projects structural improvement by the 2028–29 fiscal year if the plan is followed.

Why it matters: O'Toole said the district faces long-term revenue pressures tied to state funding formulas and the local tax base. "If we had raised taxes to the Act 1 index since 1920, we'd be generating $8,300,000 more on an annual basis," he said, emphasizing that Mill Creek relies more heavily on local real-estate taxes than many neighboring districts. He also pointed to demographic shifts — increases in English-language learners and special-education enrollments — that drive higher per-student costs.

Board members pressed for specifics about how additional revenue would be spent. One member asked what $8.3 million a year would buy; O'Toole suggested areas such as facilities planning, reduced borrowing and staffing for specialized programs (for example, counselors and reading specialists) but said detailed lists of priorities would be provided later. Another board member urged clearer public messaging about the benefits of exercising the Act 1 index.

The motion to move the final budget to the May 26 board meeting carried on a voice vote. The committee also approved a motion authorizing year-end closing actions for 2025–26 (close books as of June 30, 2026; authorize auditors to proceed; and permit weekly bill payments until the next scheduled board meeting in August).

Next steps: The proposal—including the exact tax-rate resolution and notice requirements—will be posted and available for public inspection as part of the May 26 board packet. The board must formally adopt the final budget following required public notice and any further deliberations at the full board meeting.

Sources: Presentation and Q&A by Chief Financial Officer Aaron O'Toole; committee discussion and motions at the Finance & Operations Committee, May 11, 2026.