Additional Costs Could Mean Higher School Taxes

“How do you provide quality education in the face of dwindling resources?”

That was the question posed by Pottstown School District Director of Community Relations John Armato in a meeting with district Supt. Reed Lindley to discuss how the district will cope with recent state budget cuts. 

The district faces a decrease in funding combined with growing expenses including a $1,568,731 increase in employee retirement, medical and prescription drug costs. The additional overhead could mean higher taxes for Pottstown residents.

The adjusted index is set at 2.4 -- the maximum increase allowed without referendum -- but the district is allowed by law to increase the index to 3.74 to handle debt. However, depending on the final index, the district must cut anywhere from $920,000 to $1.2 million from the budget.

Lindley said the district will start with $300,000 to $350,000 in administration cuts -- many would be similar to budget cuts from last year. 

Although the district plans for cost and energy saving measures, it's likely it will cut into non-mandated programs such as art, physical education, foreign languages and computer science. 

Lindley stressed, however, the district was not deliberately cutting these programs.

“The administration understands the value of the arts," Lindley said. "It’s not about value. It’s about what’s a permissible cut.”

Lindley said the district has been working with the Montgomery County Intermediate Unit to find alternative ways to provide quality education without big cuts to the budget.

“You cannot cut your way to a successful school district," he said. "We have to agree and deliver education in a different way.”

Lindley and Armato said part of the financial problem is due to the district’s tax base.

“Things that impact Pottstown might not impact a more suburban district as much,” said Armato.

Pottstown School District’s tax base encompasses a five square-mile area that is declining. Lindley stressed the importance of increasing the tax base and bringing more business and commerce to Pottstown.

“It is critical that the community understands that the tax base in the five square-mile area can and must increase,” said Lindley. “Pottstown must become the most small business friendly town in the state.”

Lindley’s statement echoes his comments at last month’s public meeting hosted by the Pottstown Metropolitan Regional Planning Committee. The meeting was held as part of a study to improve and stimulate economic growth in Montgomery County and Lindley said he hoped to see Pottstown bring more business and industry to the area.

Lindley also said the district will work with Pottstown Area Industrial Development, Inc. to help focus on economic growth in the borough. PAID, Inc. was formed in the 1960’s to promote commercial and industrial growth in the greater Pottstown Area.

Despite facing troubled times, Lindley was optimistic about the district's future.

“I’m confident that things can and will turn around,” he said.