Following strongly worded statements from a few members, the Laurel Highlands School Board unanimously rejected the state's Act 72 property tax relief program.
The board's action Thursday added Laurel Highlands to the list of school districts opting out of the legislation. As of yesterday afternoon, according to the Pennsylvania School Boards Association, about 277 of Pennsylvania's 501 school districts had opted out of Act 72 and only about 88 had opted in.
"It's unfair the way it is set up to put pressure on the school district," said Angelo Giachetti, Laurel Highlands school director. "(The legislators) should have let the people decide. It should have been put on a ballot.
"I weighed it with a heavy heart, and at this time I don't see any advantage in it. To bring this down to the school district was unfair."
The legislation is designed to funnel gambling revenue into property tax relief. The property tax savings, though, is partially offset by a mandatory 0.1 percent increase in the local earned income tax.
At the district level, directors have been hesitant about the act because it limits participating school boards' power to raise property taxes. Since future tax increases more than a set index must be approved by referendum, districts are forced to gamble on whether revenue streams will be available.
"(Act 72) really isn't up to par," said Shirley Kefover, director. "Why jeopardize our kids and our taxpayers?"
School board President Edward George had some harsher words to say after the 9-0 vote.
"The only thing we had to choose was which way to die," he said, "by poison or lethal injection. It was a manner-of-death situation."
Laurel Highlands was one of several school districts to assemble a steering committee comprised of board members, administrators and district residents. Some of those residents, like Craig McKee, of Lemont Furnace, were anxiously awaiting the board's decision.
"(This measure) needs to go back to the legislature," McKee said. "There are too many long-term unknowns in this. I don't understand why the legislators put our school districts on the hook with this, and I don't appreciate it as a taxpayer and as a citizen."
School directors at each of the state's 501 districts have until Monday to decide whether or not to participate in the Act 72 legislation. Taking no action by the deadline is considered opting out.
The board also passed a $36.4 million tentative budget yesterday with a deficit of $865,000. The new 2005-06 budget reflects a 4 percent increase over last year.
"We will whittle that down as far as it will go," said board Treasurer Tom Vernon. "We're hoping there will not be a tax increase."
The deficit could bring a possible 1 mill property tax hike.
Some of the additional expenses include $803,614 for salaries, $290,140 for debt service, $160,000 for supplies and $110,721 for group insurance rates.
More than $1.8 million worth of expenses have been removed since the May 19 proposed budget, Vernon said.
Directors will adopt a final spending plan June 30.
In other business, the board:
= Accepted the resignation of middle school Principal Harry Joseph after 16 years of service to the district, and appointed Assistant Principal Mary Macar to replace him. The position of assistant principal will not be filled, Superintendent Ron Sheba said.
= Accepted resignations from the following teachers: Vivian Reda, Bonnie Molk, Michele Battaglini, Rita Palya, Jack Evancheck, JoAnn Salvato, Rosa Schiffbauer, Michelle Hartosh, Francine Horner, D. Scott Knee and Perry Gaddis. With the exception of Knee, these retirees will each leave with more than 30 years of service to the district.
= Accepted a bid of $263,755 from Custom Contracting to repair a sliding slope near the high school football field.
= Announced that five of the seven bomb threats this year within the district have been solved by various law enforcement agencies. Several suspects will face juvenile probation, and the district will seek to recoup all expenses incurred during the incidents.
