Athens Area School District adopts tentative budget with 0.5‑mill tax increase after $1.875M shortfall revealed

At a virtual meeting, the Athens Area School District board voted to adopt a tentative 2020–21 budget that includes a 0.5‑mill property tax increase after hearing that the district faces a projected $1,875,000 deficit tied largely to revenue losses from the COVID‑19 pandemic.

Brendan, the district's new business manager, presented the proposed final budget showing total revenues of about $38.7 million and a projected $1,875,000 shortfall. "Currently looking at a deficit of $1,875,000," he told the board and summarized revenue assumptions including a 91% collection rate, a projected 10% drop in earned income tax revenue and level state and federal funding with two expected reductions in state subsidies. He also noted the district expects $495,000 in CARES stimulus money but said state allocation rules make that amount uncertain.

The presentation outlined expense projections, including a roughly $592,000 increase in salaries and benefits associated with existing contracts, a reduction in a track/turf reserve from $80,000 to $50,000 and other cost‑saving measures that together left the district with the reported shortfall. Brendan described the district's philosophical approach to balancing the budget while protecting student‑facing programs and said the full proposed final budget would be available on the district website and as a hard copy at the administration building on 100 Canal Street.

Board members debated options to reduce the deficit. President Johnson said he would be "comfortable with a half mill tax increase" to reduce pressure on reserves while other members urged a mix of modest tax increases and program reductions, emphasizing restraint in drawing down the general fund. One board member framed the choice as spreading cost over multiple years to avoid a single large jump later.

Following discussion, a board member moved to adopt the tentative proposed budget modified by raising the real estate tax by one‑half mill (to the rate reported as 50.8). Christine conducted the roll call and the motion passed with recorded 'Yes' votes from all members present, making the half‑mill inclusion part of the tentative budget to be finalized later. Brendan said the adjustment reduces the projected deficit by roughly $127,740.

The board handled several related consent items and routine actions during the meeting. By roll call the board reappointed John Cherasnowski as treasurer and reappointed Mister Barrett as district solicitor for another year. The board also approved the financials, personnel items (with one abstention recorded on personnel), contracts with the IU for special education services, the Bradford‑Tioga Head Start arrangement, and a three‑year Edgenuity agreement for the district's online academy that staff said locks in an approximately $15,000 per year savings.

On curriculum, staff reported the district maintains dual‑enrollment partnerships with Corning Community College and Keystone College. Staff warned Corning, as an out‑of‑state institution, must apply to the Pennsylvania Department of Education to continue offering dual‑enrollment and the district may face a $10,000 fee to retain those offerings; the board is exploring alternatives through Keystone and Mansfield University. Staff also reported an expected graduating class of 47 seniors and provided a June 6 graduation plan (rain date June 7) staged in groups of 25 with one vehicle per graduate family and live streaming.

Next steps: the board scheduled a voting meeting for June 18 to consider the final budget and advised the public the proposed budget would be posted online and available in hard copy at the administration building prior to that meeting.

Votes at a glance: motion to suspend policy to allow a remote meeting (approved by roll call); reappointment of John Cherasnowski as treasurer (approved by roll call); reappointment of Mister Barrett as district solicitor (approved by roll call); adoption of tentative budget modified to include 0.5‑mill property tax increase (approved by roll call); financials approved (roll call); personnel items approved (roll call; one abstention); contracts and curriculum items approved (roll call).