The South Butler School Board has approved a preliminary budget for the 2020-21 school year with no tax increase, even though they are anticipating a budget shortfall.
During an online school board meeting Wednesday night, officials revealed an expected general fund budget of nearly $37 million in expenses with an estimated deficit of about $780,000.
The majority of that shortfall is due to an anticipated decline in real estate tax of $119,000 as well as conservative projection for an over 9% decrease in earned income tax. The district’s plan to deal with this difficult to forecast situation is to hold the tax constant at this year’s rate of 94.275 mils and pull from the general fund reserve if necessary.
That budget will now be posted for public review on the district’s website for 30 days. Residents are encouraged to provide feedback before a final vote is taken on next year’s budget in June.
