New Marple Newtown school budget cuts tax rate

NEWTOWN » Although the decrease will barely pay for a cup of coffee, it is a decrease none the less.

The Marple Newtown School Board voted to adopt the 20172018 final budget of $81.25 million with a corresponding .08-percent tax reduction. The current rate of 18.07 mills will drop to 18.06.

Based on the average assessment of about $250,000 for homes within the district, the typical $4,518 tax bill will drop approximately $4 to $4,514. Homeowners who qualify will receive a credit on their bill through the Homestead Act.

Marple Newtown had the option of raising taxes as high as its Act 1 index of 2.5 percent. The district applied for and received Act 1 real estate tax referendum exceptions.

The final budget is approximately the same as the $81.45 million preliminary version passed in January, although the original draft would have required a 2.3-percent tax increase. The main drivers of the changes were the full savings from refinancing the district debt along with increased revenue from assessment growth, said Business Administrator Joe Driscoll.

The budget will allocate approximately 54 percent ($43.9 million) for instruction, 34 percent ($28 million) for support services, 10 percent ($8 million) for financing and 2 percent ($1.4 million) for non-instructional services.

The “modest” tax decrease not due to budgetary cuts but is is primarily a result of the board’s decision to refinance outstanding debt and the increased revenue from development, said board President Kathy Chandless. The budget includes added sections at all elementary schools to reduce class size, investments in new textbooks and technology such as additional 3D printers and laptops and again reserves funds for capital expenditures, enabling the district to upgrade fields and other facilities “without needlessly borrowing money,” she added.

Marple Newtown has also invested in an updated demographic study. Similar capacity and demographic reports were completed in 2014; the former to confirm the amount of space in each building in light of the district’s instructional program, the latter to predict future increases in enrollment due to recent and anticipated development.

“I intend to present the study to our township officials to help them understand the strain that continued residential development has on our schools,” said Chandless.