Many taxpayers of the Seneca Valley School District no doubt reacted with dismay to the prospect of another tax increase for the 2006-07 fiscal year, which begins July 1.

The need for a five-mill tax hike accompanied the district administration's budget recommendations for the coming year.

But as troubled as some taxpayers might be about the possibility of a higher school tax next year, they should look more closely at other information presented at the meeting last Monday. One element of that information package should be the basis for more concern than the tax-increase suggestion.

The information in question is that, even if the full tax-increase recommendation were to be passed along with the administration's budget package, the district still would be $8 million short in trying to achieve a balanced spending plan.

Fortunately, the district has money to cover the deficit in 2006-07, by using savings, money currently in budgetary reserve, and some funds in the hospitalization and retirement accounts.

But the serious question that needs an answer is how long the district will be capable of bailing itself out of red ink in that way.

The 2006-07 budget proposal that now must be evaluated by the school board totals $84.4 million. That's an 8.3 percent increase over the current budget.

The current real estate tax rate is 120.39 mills.

The proposed tax increase would generate an additional $1.77 million.

On the basis of the district's troubling numbers, tough budget scrutiny is in order, as well as discussion about ways to reduce district spending over the longer term.

A shortage of $8 million on proposed total spending of about $85 million doesn't portend a healthy revival of financial fortunes anytime soon.

Left unchecked, the situation could mean much higher property taxes than the already high taxes — sooner rather than later.

Like other Pennsylvania public school systems, the Seneca Valley School Board must approve a preliminary spending plan by the end of May and a final budget by June 30.

For the current fiscal year, the administration also proposed a five-mill tax increase, but the board opted for an increase of 2.8 mills.

The increased-spending needs for 2006-07 — such as for increased salaries, transportation, new staff and faculty positions and other items — would seem to justify the tax hike. Nevertheless, Seneca Valley appears to be on a collision course with fiscal crisis.

Seneca Valley school directors have a monumental task in the two months ahead, with all spending options on the table.

The district's excessively fast growth is at the foundation of the current financial challenge, but that growth doesn't seem likely to abate anytime soon.

The decisions that are forthcoming for 2006-07 must reflect that reality.