Mars Area School Board voted 6-2 in favor of Mars Area School District’s tentative 2025-2026 General Fund Budget of $65,399,802 with a tax increase of 1.0 mill.
Board members John Kennedy and Aaron Rose cast the dissenting votes. Board member Lea Ann Riner was absent.
The budget proposes an increase in the current tax rate from 109.0 to 110.0 mills. For a home with a median assessment value of $28,980, the increase would be equal to an additional $28.98 per year in taxes.
Real estate taxes make up 53 percent ($33,881,270) of the District’s proposed revenue budget, says Debbie Brandstetter, Business Manager. The tax increase would bring in an estimated $313,000 of additional revenue, of which $300,000 would be transferred to the Capital Projects Fund/Debt Service related to the planned expansion project at Mars Area Elementary School.
The proposed budget is approximately 4.3 percent ($2,674,726) higher than the District’s 2024-2025 budget of $62,725,076 with a projected deficit of $1,339,353. This deficit would require the use of the fund balance in order to balance the budget.
Five (5) categories comprise 95.6 percent ($62,551,207) of budget expenditures — Salaries ($27,208,187), Employee Benefits ($18,395,441), Other Purchased Services ($6,995,851), Debt Service ($6,683,553), and Supplies ($3,268,175).
The proposed budget includes the continuation of existing educational programs; the retention of all teaching and support staff, including all unfilled support positions; and the replacement of two out of six retiring and/or resigning teachers and support staff.
The District will interview candidates to replace the two retiring secondary (art and science) teachers; and, the remaining four teaching positions will be filled by current staff members. The budget also includes the replacement of one building secretary, two custodians, and a business office administrator as well as the hiring of a District-level security director.
The tentative revenue budget of $64,000,449 includes an increase of $2,229,569 over the 2024-2025 budget, says Brandstetter. The budget draft expects approximately $46.8 million in local revenue, $16.8 million in state revenue, and $285,134 from federal sources.
The budget includes an increase in real estate tax revenue of $949,515, two-thirds of which is attributed to the growth in property assessment values. In addition, earned income tax revenue is expected to increase by 4 percent, generating an estimated additional $381,253 in revenue.
State revenues are budgeted to increase by $376,931 with $84,136 of the increase coming from an additional basic education subsidy; a $141,970 increase in reimbursement of retirement contributions, and a $76,247 increase in the amount received for property tax reduction.
The proposed 2025-2026 General Fund Budget is available for public review online at https://www.marsk12.org/apps/pages/index.jsp?uREC_ID=793319&type=d&pREC_ID=2668649. The Board is scheduled to adopt the final budget at its Regular Meeting at 7 p.m. on Tuesday, June 10.
Questions or comments regarding the proposed budget may be directed to Mars Area School Board via e-mail at masdboard@marsk12.org or at any public Board meetings.