The Parkland School Board and administration gathered April 24 for the 2015-16 budget seminar.

The daylong event included not only an explanation of the numbers comprising the budget but also reports on factors such as enrollment growth and planned new construction, which may create an impact.

District Superintendent Richard Sniscak reported positive trends in revenue from earned income tax and increased real estate assessment are beneficial, but challenges arise from mandates and the uncertainty of commonwealth funding.

The proposed general fund budget for 2015-16 is $158.5 million, a 4.18-percent increase over the previous term.

Sniscak explained $5 million will be taken from the fund balance to apply toward the general budget, thereby providing an offset of 0.74 mills to the tax increase.

He said the budget package presented at the seminar depicts a tax rate of 14.51 mills, a 2.98-percent increase over last term.

"The final budget presented in June must have an even lower tax increase," Sniscak said. "The allowable Act 1 Index approved by the state totals 14.35 mills representing a 1.85-percent millage increase."

A $1.2 million deficit exists between revenue and expenditures.

Sniscak offered possible solutions to the problem.

"We may use more fund balance," he said. "A bond refunding may help. We will continue to evaluate revenues and expenditures.

"We have a lot of options. It will have to work out."

Business Manager John Vignone provided background on the 9.93-percent increase in employee benefits, which account for $44 million or 28 percent of the total budget.

Employee health care costs are projected at $17.5 million, a figure which would be higher if Parkland were not participating in a consortium with other Lehigh County schools. Vignone said the district's fees for the Affordable Care Act are expected to be $632,771.

Administrators estimate 1.5 staffers devote their time to the ACA and health care matters.

The amount Parkland is required to pay for the state employees retirement system will increase 4.4 percent, some $3.7 million of new money, for a total of $19 million in state pension costs the district must commit in the new budget year, Vignone explained.

Sniscak addressed the rising cost of special education and the state's failure to provide an increase in seven years.

The cost for special education in 2015-16 is listed at $20.2 million.

"I cannot stress strongly enough the commonwealth needs to increase special education funding," Sniscak said. "These programs once were fully funded."

The superintendent offered a philosophical outlook on the district's financial scenario.

"It is our belief the proposed funds dedicated to support the education programs in this plan will outlive the budget process by providing students with the skills and abilities necessary to become independent, productive citizens of the future," Sniscak said.