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EXETER — The Wyoming Area School Board has passed a preliminary budget for 2017-18 that increases property taxes 3.4 percent, which is the state-set limit.
Business Consultant Tom Melone, a certified public accountant with Albert B. Melone Co., said the 3.4 percent hike allows the board to better prepare for debts that will count against its 2018-19 budget.
“In 18-19, their bond debt will go up by $900,000,” Melone said. “We’re trying to incrementally prepare for that.”
In June, the budget will go to a final vote.
The spending plan increases costs by $1,577,564, from $33,312,342 this year to $34,889,906 next year.
The expected tax increase will increase local tax revenue by an estimated $484,000.
The board had about $2.26 million in reserve funds at the end of the 2015-16 school year. Melone estimates a fund balance of $2.98 million to end 2016-17.
A number of factors contributed to Wyoming Area’s budget increase of nearly $1.6 million.
Salaries rose due to previous collective bargaining agreements and the salaries of new hires, including an in-house social worker. The benefits category saw an increase due to a state-mandated raise in retirement rates and a rise in health care costs.
The district will also pay more for transportation services and students who go to cyber and charter schools.