The Butler School District will see a decrease of more than $198,000 in annual tax revenue as a result of the tax reassessment of the Clearview Mall, shown here.

While the Clearview Mall assessment approved Wednesday by the county commissioners will lower the taxes paid by the struggling shopping center, the move will negatively affect the Butler School District.

At their meeting, the commissioners approved the reassessment at the mall's settlement market value of $15 million.

The settlement value is an amount arrived at by the county assessment appeals board after appraisals of the mall by both its owner, JJ Gumberg, and the county.

The fair market value of the mall, according to documents from the county assessment office, is $32.3 million.

The assessed value of the mall at its fair market value is $3.5 million, which would bring the county $95,740 annually in taxes.

The settlement value of $1.6 million will see the county taxes paid by the mall drop by $51,815 to $43,925.

Hardest hit will be the Butler School District, which will see a decrease of more than $198,000 in annual tax revenue as a result of the reassessment.

“It's a substantial decline in revenue, but it's a reality,” said Brian White, district superintendent. “More people are shopping online and there are less people at the mall.”

He said the district is already requesting a tax increase that meets the state maximum, so taxes cannot be increased beyond that cap to fund the gap created by the reassessment.

Still, White said programs and curriculum will not be affected by the reassessment.

“It just makes a complicated budget more complicated,” he said.

White said the situation is a sign of the times.

“It's important that commercial properties pay their fair share because if they don't, that means the homeowners pay,” White said. “But we understand why they asked for a reassessment.”

Leslie Osche, commissioners chairwoman, said new properties regularly coming onto the tax rolls — mainly in the southern parts of the county — will make up for the $51,815 drop in county taxes caused by the mall's reassessment.

But she said the impact on the school district is not lost on the commissioners.

“That equates to two or three teachers,” Osche said. “It is notable, the impact something like that has in the community.”

Butler Township also will see a decrease in tax revenue of $13,222 as a result of the mall's reassessment.

Neither Clearview Mall nor JJ Gumberg representatives were available for comment Wednesday.