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Knoch finalizes budget, first tax hike in a decade

JEFFERSON TWP — Knoch School District officially approved a tax hike for the 2026-27 school year, its first since 2017.

The tax increase, along with a slightly increased budget for the 2026-27 school year, was passed unanimously at Knoch school board’s Wednesday, June 3, meeting.

Jamie Van Lenten, Knoch’s business manager, said both the budget and accompanying tax increase were recommended by administration.

Knoch residents will see a 3.5% millage increase, or 3.2996 mills, the maximum allowed under the state index, bringing this year’s millage rate to 97.574 mills total. According to the district, the increase equates to roughly $69 per year for a home assessed at the median value.

A mill is equal to a $1 tax increase for every $1,000 of a property’s assessed value.

The 2026-27 general budget will see $40.21 million in spending, just over $200,000 more than the current school year.

Knoch’s board has frequently prioritized being fiscally conservative in its past budgets. When this year’s budget was first presented, board members largely argued in favor of raising taxes this year, instead of kicking the can down the road, to stabilize revenue for the general fund.

They said this year’s hike could keep the district from raising the millage rate again for at least the next five years. At previous budget presentations, Van Lenten said the district’s fund balance would be drained by 2031 without an increase.

According to the district, the increase generates about $596,000 in extra revenue and closes its projected structural budget gap.

“The board’s decision follows months of budget review and financial analysis. District officials cited rising operations costs, inflationary pressures, transportation expenses, utility costs, special education tuition obligations and continued increases in employee healthcare costs as factors contributing to a growing structural budget deficit,” a district news release said.

Knoch provided the news release after Wednesday’s meeting, defending the need to increase taxes, largely due to COVID-19-era relief funds running out.

“During and following the COVID-19 pandemic, federal relief funding provided temporary financial support that allowed school districts across Pennsylvania, including Knoch, to address pandemic-related challenges, offset certain expenditures and maintain operations without placing additional burden on local taxpayers,” the district said. “While those one-time funds helped stabilize budgets in the short term, they now have been fully utilized and are no longer available to support ongoing operations.”

The release also denied any increase is related to building projects or expansions. Knoch previously spent around $39 million to renovate its existing high school, which was completed in time for the current year.

Van Lenten said Wednesday night the district had received little feedback regarding the budget proposal.

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