The Butler Area School District will transition to a new company to handle collection of delinquent per capita tax.
At their meeting Monday night, the school board voted to give their previous collection company 90 days notice of the end of the contract while giving notice of intent to engage to Berkheimer Tax Administration Services beginning in July.
Superintendent Dr. Brian White estimates that the district loses $20,000 to $30,000 per year as a result of non-payment of per capita tax. While the previous company had a collection rate of around 50%, Berkheimer claims that their collection rate is around 75%.
This service does not cost the district any money and it will not in the future. Instead the collection fee is paid by the resident to the collection company and it is likely to remain the same.