Your property taxes could increase if you live in State College. Here's why

Property owners in State College Area School District could be paying more in taxes next year to help cover the costs associated with extending the elementary school day.

The school board approved the proposed final budget Monday night, with a vote of 8-1. Board member Laurel Zydney was the sole vote of opposition. The proposed final budget for the 2018-19 academic year, which includes a 2.4 percent tax increase calls for $2,304,919 for new programs and to maintain current district programming, according to a district press release.

District Finance and Operations Officer Randy Brown said about $1.1 million of that program funding will support the additional 7.8 teachers and paraprofessional staffing that are needed to have students in school for about 45 minutes longer. The board approved the extension in December. Brown said it will give core teachers more time for planning while students take electives, such as STEM courses.

“I do think we’re being responsive to strategic priorities,” Superintendent Bob O’Donnell said.

The other $1.2 million will fund things like psychological services, a director of diversity and inclusivity, an elementary counselor, a security officer and resource officer, transportation equipment, a primary autistic support teacher and more.

The 2.4 percent tax increase, which reflects the Act 1 Index tax limit for the district, would bring the millage rate to 45.206, the release said. The millage rate is the amount per $1,000 of property value that is used to calculate local property taxes.

According to the release, the new millage rate would mean that "the average district taxpayer with property at an assessed value of $72,546 would see a tax increase of $77."

"This year, we had hoped that we'd be able to come down below the Act 1 Index, but there's just been so many items that have come to us this year that are not just requests, but they're true needs to help our student population moving forward," Brown said.

Last year, Brown said the Act 1 Index was 2.5 percent, but the district only went with a 1.5 percent tax increase. He said the district had really tried to limit its increases as much as possible last year because of how well the community responded to the prior tax increases that were needed to fund the high school project.

The 2018-19 proposed final budget also includes $158,110,347 of total revenue and $157,873,467 of total expenses.

The budget hearing is June 4, and the board will take action to adopt the final budget on June 11.

This story was originally published May 7, 2018 at 3:31 PM with the headline "Your property taxes could increase if you live in State College. Here's why."