BUTLER TWP — Butler School Board members will have to figure out how to balance a projected $6.4 million budget deficit in the 2014-15 school year.

Cathy Rodgers, business manager, explained specifics of the budget to board members Monday night.

Staff salaries and benefits make up about $70 million of the $93.6 million projected budget. There are about $6 million in increased costs next school year, including a $3.2 million increase in benefit costs. The district’s budget is about $91.4 million this year.

Superintendent Mike Strutt said that until now, salary and benefit costs have been relatively level during the past five years. That’s because 100 staff positions have been eliminated since the 2010-11 school year, mostly through attrition.

Rodgers recommended the board consider raising the stop gap health insurance cap from $125,000 to $150,000 to save money. The change could save the district money, maybe even in excess of $250,000, through premiums savings and other incentives, she said. The district currently pays up to $125,000 for staff who need catastrophic health care.

Increasing property taxes up to the Act I Index, 2.6 mills, would provide an additional $1.1 million in revenue. District millage is now 93.8 mills, bringing in about $38.4 million this school year. While the possibility of raising millage wasn’t discussed among board members Monday, a breakdown of taxation options were provided to the group.

Rodgers said she’s expecting the state to provide a $45.5 million contribution and federal sources to provide $3.2 million to the district next school year.

Budget talks will continue during the board’s financial committee meeting before the agenda meeting on Monday. The board is to approve a preliminary budget later this month.