Wissahickon School Board Passes Resolution Opposing Bills Affecting Act 1

passed a resolution Monday night that opposes Senate Bill 911 and House Bill 1376, which would remove all exceptions for school districts to raise taxes above the Act 1 Index.

The resolution states, “In 2010-2011, 135 districts in Pennsylvania requested approval for Act 1 exceptions,” most of them “for the purpose of fulfilling pension obligation and for special education costs outside the control of local school districts.”

Act 1 was implemented in 2006 and sets limits on how much a school district can raise taxes each year. However, there are three exceptions that require court approval, and seven that require the approval of the Department of Education.

The three exceptions that require court approval include costs to cover a disaster declared by the governor, costs to implement a court or administrative order, or the costs of responding to conditions that pose and immediate threat of serious physical harm to students, staff and district residents.

The exceptions that require approval of the Department of Education include costs to cover principal payments on debt for school construction; covering the increasing costs of special education; cost not covered by state funding for implementing a school improvement plan under the No Child Left Behind Act; covering the costs of increases associated with maintaining a per student local tax revenue; covering the costs of increases associated with maintaining selected revenue generated by property taxes, earned income taxes, personal income taxes, state basic education funding and state special education funding; covering the costs of increase in the district’s share of an employee’s retirement contributions; and covering the costs associated with increased health care benefit costs related to collective bargaining agreements.

A district can also seek voter approval to raise taxes through a referendum.

The only school district in Pennsylvania to be successful at passing a referendum has been Upper Dublin School District.

At the meeting, Seth Grant pointed out, “This district has never used the exceptions to raise taxes.”

Marjorie Brown, board vice president, said, “It's very important for the board to take a stand. … We as a board have to decide to take a more active stand on legislative issues.”

There are approximately 38 bills in the general assembly and in committees that affect school districts.

“Given the recent flurry of legislative activity… this resolution [had perfect timing],” said Dick Stanton.

“House members say they’re not hearing from school boards," said Michael O. Peale, board solicitor.

Board members agreed that they want Peale to keep them informed of legislative activity, and they also want Superintendent Judith Clark and Business Manager Wade Coleman to let them know how the legislation will affect Wissahickon.