On Wednesday, April 12, the Troy City School District Board of Education unanimously adopted the proposed 2017-2018 budget of $112,018,797. The tax levy will be $36,273,420, representing a 0.45-percent tax levy increase, which is at the allowable tax cap.
On May 16, residents will vote on the proposed budget and will elect three candidates to the Board of Education. In addition, they will vote on a proposition to authorize the creation of a Capital Reserve Fund. The reserve will be used to help pay for the local share of future capital projects and will be funded through one-time revenue sources and surplus funds. There are no tax implications to establish the reserve.
“This year’s budget development process was much more difficult than in previous years and our proposed budget is tighter than ever,” said Superintendent John Carmello. “Despite increases in costs, we have once again developed a fiscally responsible budget while maintaining all of our programs and staff that have proven to be critical to our students’ success.”
Overall, the adopted budget is .8 percent lower than the 2016-2017 budget, which included a $3.5 million “Transfer to Capital” consisting of one-time revenues used to pay for the local share of the 2016 capital project. Operationally, the proposed budget increases spending by 2.4 percent.
Because the District stayed within its tax cap, some taxpayers are eligible for the State’s property tax relief credit. Beginning in 2017, STAR eligible taxpayers making less than $275,000 a year should receive a percentage of their STAR benefit, with lower incomes receiving a higher percentage benefit. The credit will be fully phased in as of 2019.
“While we were not able to add everything we would have liked, this budget will allow us to continue our progress and keep moving the District forward,” said Carmello.