The Pleasant Valley School Board passed the 2025-26 General Fund Budget on Monday night with a 2.03% tax increase.

The new tax levy raises the property tax mills from 25.1083 to 25.6157 mills. That is an increase of .5074 mill.

During the school board’s workshop session on May 8, Business Manager Tammy Smale explained that the new millage would be an increase of $78 annually on real estate property with an average assessed value of $143,138.

School board President Susan Kresge said at the regular meeting this week, “I would like to commend Tammy on the budget and all the administration on the budget.”

Kresge said she realizes this is a 2% increase, but remembers when the school district had a deficit of $5.6 million a few years ago.

“Where we are today, being able to afford the project that’s just got underway to me it’s just a miracle,” she said.

According to the budget, the school district’s estimated revenues and other financing sources are:

• Local (real estate/property tax, earned income tax, other payments): $59,522,160.

• State (subsidies, grants, retirement, transportation, real estate tax reduction allocation and other): $55,015,418.

• Federal (Title I, II, III and IV, and medical ACCESS): $1,561,892.

• Total: $116,099,470.

There also is an estimated $31,274,536 in unreserved fund balance accounts that is available to use or reserve. These include:

• Restricted Fund Balance: $63,149.

• Committed Fund Balance: $17,821,286.

• Assigned Fund Balance: $8,666,717.

• Unassigned Fund Balance: $1,561,892.

The total estimated fund balance, revenues and other financing sources that are available for appropriation is $147,374,006.

On the expenses side, the school district is anticipating the following:

• Instruction: $66,812,907; an increase of about $2.7 million.

• Support services: $40,831,036; an increase of $2.4 million.

• Noninstructional/Operations: $1,468,777; an increase of $378,890.

• Other and Financing: $6,986,750; a reduction of $366,000 due to spending on the high school renovation project.

• Total expenditures: $116,099,470; an increase of $4.5 million.

There are also increases in salaries based on the collective bargaining agreements, cost of benefits, which went up by 4%. Transportation costs increased by 4%. Special education and out-of-district placement increased by 7%, Smale said at a presentation of the budget when it was proposed in May.

“Enrollment is increasing in special education,” she said.

In all, 58% of the budget covers salaries and benefits districtwide; 19% covers the utilities and insurance; 9% for professional services; 8% for supplies and equipment; 5% for debt reduction; and 1% for other expenses.