Tax increase likely for Northern Lehigh district
Residents who live in the Northern Lehigh School District will almost assuredly see an increase in next year's property tax rate.
By a unanimous measure, the school board on Monday adopted the proposed general fund final budget for the 2015-2016 school year in the amount of $30,828,379.As a result, the preliminary budget is adopted with a 21.15 millage rate for Lehigh County, and a 59.14 millage rate for Northampton County.Director Donna Kulp made the motion for the 2.25 percent increase. Sherri Molitoris, co-director of business affairs/human resources, said that would still require the use of $993,299 of the district's fund balance.After the meeting, Molitoris said a property in Lehigh County with an assessed value of $144,800 and in Northampton County with an assessed value of $51,781 will each produce an estimated $3,062 in real estate tax revenues for the district.The district has developed a real estate tax calculator located on their website,
www.nlsd.org, in which community members can input their current property tax assessment rate and see an approximation of their 2015-2016 real estate tax bill, including per property offset amount for Homestead/Farmstead relief where applicable.A copy of the 2015-2016 Proposed Final Budget and the real estate tax calculator will be available on the district website by Friday.Before the vote, several directors voiced their thoughts on the budget.Director Gary Fedorcha said he believes the district needs to have a cushion to fall back on in the event a major crisis should surface down the road.However, Director Mathias Green said he doesn't believe the district needs to raise taxes to the maximum level, and that when he looks at the financial situation the district is in compared with other districts, Northern Lehigh is in good shape.Citing various cost increases, Director Robert Keegan Jr. said he believes the district should go the maximum level.Board President Edward Hartman praised the work of Molitoris and Rhonda Frantz from the business office, as well as Superintendent Michael Michaels, for doing a great job in putting the budget together despite so many unknowns.In January, the board approved the Act 1 Tax Levy Resolution, which states that the district's index for the 2015-16 fiscal year is 2.6 percent.Last June, the school board approved the 2014-15 budget with a 2.8 percent increase in the property tax rate.That budget called for a 0.59-mill increase for residents of Lehigh County, and a 0.63-mill increase for residents of Northampton County.The $29,132,905 spending plan increased the millage rate from 20.17 to 20.76 mills for residents who live in Lehigh County, and from 57.31 to 57.94 mills for residents of Northampton County.As part of that budget, the district used $465,000 from its fund balance to help offset about a $525,000 increase in the Public School Employees Retirement System.Raise proposal put on holdAlso on Monday, Green said he was "really impressed" with the district's administrative team.Green noted how former administrators have left the district and gone on to successful careers in other school districts.Convinced that there is still some money left over in next year's budget, Green then made a motion to give the district's Act 93 group a half of a percent increase July 1 as a bonus, and another half of a 1 percent increase effective Jan. 1, 2016, that would become part of their salary; Assistant Superintendent Karen Nicholas a three-quarter percent increase July 1 as a bonus, and another three-quarter percent increase effective Jan. 1, 2016, that would become part of her salary; and Michaels a 1 percent increase July 1 as a bonus, and another 1 percent increase effective Jan. 1, 2016, that would become part of his salary."I'm getting tired of training good administrators and having them leave," Green said.But Keegan said he wasn't comfortable with taking such action, and said he believes Green's motion was "blindsiding" the board in public.Fedorcha said that while the increases are deserved, "if we're going to do it, do it across the board" to everybody.Hartman said he believes Green's request should go in front of the board's finance committee.At that, the matter was dropped, and a motion was made to adjourn the meeting.