A 1.2-mill increase is likely next year for residents of the Tamaqua Area School District.

The school board's finance committee on Tuesday recommended approving the final 2017-18 budget under those terms.If the board approves the budget as it stands now with the proposed increase, it would raise the millage rate from 35.38 to 36.58 mills.That would mean a homeowner with a home valued at $100,000, which would be assessed at $50,000, would pay about $60 more to the district in property taxes.Final budget adoption is slated for June 20.Pension and moreBusiness Manager Connie Ligenza said the driving factors behind the proposed increase are the employer contribution rate for the Public School Employees Retirement System, cyber charter school tuition and capital projects.Ligenza said cyber charter costs are budgeted at $982,000, while the employer contribution rate to PSERS will be 32.57 percent of eligible payroll.The total cost is $3,976,009; as the district receives subsidy from the state of about 50 percent of the cost, which results in a net cost to the district of $1,988,005.In April, as part of several budget reductions in next year's spending plan, the board chose to postpone the final phase of its high school roof project in an attempt to lessen its $2.9 million deficit.At that time, Ligenza highlighted three budget reductions that would result in a $623,216 savings.She said postponing the final phase of its high school roof project would save the district $438,216; eliminating the assistant principal to the special education director position, which is currently vacant, would save the district $115,000; and the summer/seasonal staff pool budget would be reduced by $70,000, from $100,000 to $30,000.Those three reductions would lower the district's deficit from $2.9 million to $2,284,943.However, even with those reductions, the board is still faced with a 1.2-mill increase.Ligenza previously said 1 mill will generate about $331,426 for the district in the 2017-18 school year.In December, the board agreed not to increase taxes above the Act I index of 3.4 percent, which equates to 1.2 mills, or about $362,212 in tax revenue.Last June, the board approved this year's spending plan with a 1.09-mill increase in the property tax rate.That decision increased the district's millage rate from 34.29 to 35.38 mills, and called for a homeowner with a home valued at $100,000, which would be assessed at $50,000, to pay $55 more to the district in property taxes.The final budget left the district with a $2.12 million deficit, meaning it had to use $1,923,000 from its fund balance to balance the budget.Ligenza said that increase was due primarily to the capital needs/improvements of its buildings on the board-approved list of additional items.