Montoursville Area School District expenses may be increasing, but property owners there may not have to reach deeper into their pockets to pay taxes.

The school board at its recent meeting got a glimpse at some of the rising costs that could impact next year’s budget.

“The cost of everything is going up,” Business Manager Brandy Smith said.

Smith told the board that the budget, still to be finalized, shows a deficit of $140,000.

However, Superintendent Dan Taormina noted that a tax millage increase is not being proposed.

Last year, the board approved a 0.56 millage tax increase to support a $35.4 million budget.

Gov. Josh Shapiro’s budget proposal calls for increased state funding for public school districts, but those figures have not been approved by the state Legislature.

The board could decide to draw from the fund balance to help fill any budget deficit. The fund balance is expected to be at least $3.2 million by June 30, the deadline for approving a spending plan.

Taormina noted that the district must consider how to fill a physics teaching position for next year.

“We’ve had one candidate who is certified,” he said.

Options include partnering with another school district to offer physics to students.

“Removing the physics position brings us to a balanced budget,” he said.

The board approved a new contract for the business manager.

Terms of the agreement were not disclosed.

The board voted to hire Mike Mussina as boys’ head varsity basketball coach at a stipend of $4,830.

He replaces Mark Mussina who resigned from the position.

It will be Mike Mussina’s second tenure as head basketball coach at the school.

“We welcome back Mike Mussina courtside,” Taormina said. “He’s back where he belongs.”

In other personnel matters, the board approved Sara Conrad as an elementary teacher at a yearly salary of $54,784.

The board approved Jodi Madey, paraprofessional, at $15 per hour, and Jessica Clayton, secretary, at $16.50 per hour.

The following resignations were approved: Melissa Jackson, elementary teacher; Alicia Dabney, health care aide; and Rebecca Dauberman, exclusive substitute.

The board approved the purchase of fitness equipment at a cost of $33,650.

Half of the costs, it was noted, will be covered by the booster club.

In addition, The First Community Foundation is donating $2,000 toward the purchase.

“We use this for strength training,” Taormina said. “It’s for all the kids.”

The board approved a $33,915 contract with Central Susquehanna IU #16 for student information software.

The board held an executive session prior to the meeting to consider legal, personnel, and security matters.

The next board meeting is set for 7 p.m. Tuesday, April 22 at the high school.