The Loyalsock Township School Board began the process of passing its 2026-27 school year budget at its monthly meeting Wednesday.

The budget calls for an increase of .65 mills over the current rate, which sits at 15.35.

The increase would amount to $480,000 in additional real estate tax revenue, business manager Dan Egly explained during his presentation

This would be the district’s first tax increase in three years, and only its eighth in 19 years, he said.

“It is important to note that the school’s tax rate is and will continue, with this proposal, to be the lowest tax school millage rate in Lycoming County.

“Expenditures to the district next school year are expected to total around $31,463,523, a 4.67% increase, while revenue is expected to reach approximately $30,620,994, a 4.36% increase, resulting in a deficit of roughly $840,000,” Egly said.

“We realize this anticipated deficit is large, however, we feel the district is well reserved to make up this deficit with our unassigned fund balance,” he said.

School districts receive revenue through local, state and federal taxes and subsidies, with Loyalsock receiving the majority of its revenue from local sources, includes real estate taxes, earned income taxes, real estate transfer taxes and business privilege tax. A further 38% comes from state subsidies, with only 2% being made up of federal sources, the business manager said.

Major changes to the district’s revenue came from increases in real estate tax revenue, earned income tax revenue and a significant increase from the state in the form of the Ready to Learn block grant.

23% of the budget’s expenditures is made up of salary and benefits, with professional technical services and maintenance contributing second highest.

“The third largest expenditure is our debt service payments. Currently, we have three bond issues that we are paying on in 2026-27. We structure our debt payments in such a way that the district seizes $700,000 savings on its debt payments,” Egly said.

“As it sits now, the district will be debt free in 2038 which is a great position to be in,” he said.

The budget must go through two more votes, during which changes may be approved, before it is officially adopted.

In other financial matters, the board approved a corporate authorization resolution with Woodlands Bank, identifying which board members may do business on behalf of the district in the absence of Egly and/or Superintendent Dr. Brooke Beiter; the Lycoming Career & Technology Center Budget for the 2026-27 school year; and rates for services with the Central Susquehanna Intermediate Unit for the 2026-27 school year.

At a previous board meeting, the following were approved: the Larson, Kellett & Associates, P.C., 40 Choate Circle, Montoursville, independent auditors report for the year ended June 30, 2025; and approved the BLaST IU17 General Operations Budget for the fiscal year July 1, 2026 through June 30, 2027; a Master Lease Purchase Agreement with Apple, Inc., at a cost of $316,820.00; and the purchase and installation of Smart Boards from ePlus Technology, Inc., 13595 Dulles Technology Drive, Herndon, at an estimated cost of $143,898.36.

Other actions taken by the board include the adoption of revised policies for charter schools, transportation, a new policy on trauma-informed approach; and approved the attached special education plan for the period of July 1, 2026 through June 30, 2029; and the summer school and remediation programs for the summer of 2026.

In staffing, the board approved Connor Hackenberg as Technology Specialist (Network), effective May 18, 2026, at a prorated salary of $62,500.00. He will also serve as a part-time technology specialist from April 6 through May 15, 2026, at a per diem rate; Justin Cowles’ transfer from full-time custodian to full-time maintenance employee, effective March 9, 2026, at an hourly rate of $18.10; Cera McQuillen as a substitute food service employee, effective March 24, 2026, at an hourly rate of $15.00; Cassandra Williamson, as a substitute gate attendant at Donald E. Schick Elementary School, at a rate of $25/shift; and a number of spring athletic personnel for the 2025-26 sports season with stipends varying from $1,800 to $5,700.

Staff previously approved by the board include: David Malkin, as a part-time paraprofessional, at an hourly rate of $16.10; Jesse Martin, as a part-time paraprofessional, at an hourly rate of $16.85; Mary Richards, as a part-time custodian, at an hourly rate of $15.85; the termination of Nathaniel Ziminski, as a full-time maintenance employee, effective Feb. 4, 2026; and accepted the retirements of Kirk Bower, social studies teacher, effective Aug. 17, 2026; Wanita McGee, social studies teacher, effective Aug. 14, 2026; Gregory Pride, intervention specialist and crossing guard/traffic monitor, effective June 5, 2026; and the resignations of Katrina Rupert; head cook supervisor, effective June 5, 2026; and Jeffrey Vilello, school police officer, effective Feb. 26, 2026.

The next board meeting will be held at 7 p.m. on Wednesday, May 6, 2026.