Keystone Central SD budget vote fails after heated public comment; board directs revised 1.88-mill proposal

The Keystone Central School District board failed to approve a proposed 3.5% property-tax increase for the 2026–27 general fund budget on June 18, after a night of public comment and prolonged debate, and instead directed the business manager to prepare a revised budget reflecting a 1.88-mill increase for a special meeting June 24 at 5:30 p.m.

Three members of the public addressed the board during the hearing of visitors. Kevin Ferrar, a resident who reviewed U.S. Census figures, said the district’s publicly posted median home-value figure appeared to understate local values and warned the board’s numbers painted an inaccurate picture of taxpayer burden. “This board is displaying taxation without representation,” Ferrar said, arguing a 3.5% levy would hit higher-value municipalities much harder and produce inequitable returns.

Michelle Whitney, another resident, told the board KCSD enrollment has fallen by roughly 24% over the past decade while spending rose from about $82 million to $94.3 million. Whitney criticized planned administrative contract changes that include guaranteed annual raises, expanded stipends and a larger health-insurance opt-out payment, saying the district should cut spending rather than raise taxes. “Do your job. Make the cuts,” she said.

Pierce Griffith, a younger homeowner from Lock Haven, said an increase of the size proposed would mean roughly $80–$90 more per month on his assessed value and urged trustees to consider how tax increases affect young families and the district’s ability to attract and keep residents.

Board members debated competing risks. Several members said they could not support the 3.5% increase without more demonstrated spending reductions; others warned that failing to pass a budget could lead to state intervention and potentially larger tax increases later. After extended discussion the roll-call vote on the final general-fund budget at the 3.5% increase failed (five no, three yes).

Following the failed vote, board members informally polled possible alternatives and then voted to direct Business Manager Joanie McIntyre to prepare a revised final budget reflecting a 1.88-mill increase. The board scheduled a special voting session for Wednesday, June 24 at 5:30 p.m. to consider that revised budget.

What happens next: the business office will recompose the numbers to reflect the new millage direction and the board will reconvene to vote. Board members said they expect additional committee work and staffing/operational studies to follow, and speakers on both sides signaled continued scrutiny of administrative costs and services as the district moves toward a refreshed budget.

The meeting record includes other votes that night on solicitor renewal, settlements, personnel hires and vendor contracts, but the budget discussion and the special meeting directive were the meeting’s centerpiece.