2.2-Mill Tax Increase Recommended for Canon-McMillan

school directors are poised to approve a proposed final budget next week for the 2012-13 school year—a spending plan that could include a 2.2 mill tax increase.

The budget is expected to be about $61.8 million for the 2012-13 school year. The current millage rate is 105.41. That means that a person whose home is assessed at $50,000 paid about $1,317 in school taxes this year.

If a tax increase of 2.2 mills is approved, that means that same person would pay $1,345 next year.

Joni Mansmann, district director of business and finance, told the board that despite a drawdown of about $250,000 from its fund balance from 2012, there is still a shortfall of about $530,000.

She has recommended a tax increase over using a portion of the district’s $3.8 million in capital reserve funds to bridge that gap, saying the district would need it in order to meet its future Public School Employees’ Retirement System payment obligations.

Mansmann said there are still several unknowns in the budget—including health care premium costs, which are expected to rise.

If the board approves the budget at its meeting next Monday, the document would be required to be on display for 20 days before final ratification.

And Mansmann stressed that the figures could still change up until ratification.