The Frazier School Board voted to keep any potential district property tax increase in 2020-21 below the state index.
The board during a special meeting this week adopted a resolution that gives the district additional time to prepare its budget for the upcoming fiscal year and ensures it will not raise the real estate tax above the Act 1 index set by the state.
School boards are required to pass a preliminary budget by the end of January each year if they intend to petition the state to raise taxes above the index, an option that Frazier is forgoing with the passage of the resolution.
The state index is used to determine the maximum amount by which a school district can raise the tax rate without state exception or voter approval. The 2020-21 index is set at 3.7 percent for Frazier, meaning the district cannot raise the tax rate by more than 3.7% next fiscal year.
The current tax rate for the district is 19.3324 mills.
While school directors voted to not exceed the state index, the board could still vote to raise taxes up to the index rate.
The district has increased millage each of the last seven years by a cumulative total of 6.0024 mills, a 45% percent rise since 2012. Over that time, the district’s general fund budget has risen from $14.7 million to $18.5 million.