The coronavirus pandemic has wreaked havoc across the economy. Workers lost jobs overnight. Public schools are closed for weeks and possibly months.

With the deadline looming for approval of the Northampton Area School District 2020-21 budget, several school directors are adamant about not raising taxes.

“Ninety-six percent of folks are under stay-at-home orders,” school Director Roy Maranki said. “Right now, we’re almost at 13,000 (confirmed coronavirus cases in Pennsylvania, as of April 6). To present any tax increase is unacceptable. It’s not fair to our taxpayers. This is the toughest time we’re ever going to face in our lives.”

“I’d like to see it reduced to zero,” school board President David Gogel said. “Now is not the time to raise property taxes. It’s going to be a long road ahead.”

“I think it’s important to keep it as low as possible,” board Vice President Chuck Frantz said. “I know I’m not looking at any kind of increase. Even if people get back to work, they’re not going to be able to pay their taxes.”

The school board members met in a teleconference meeting April 6 in adherence to the stay-at-home order by Pennsylvania Gov. Tom Wolf.

The board also teleconferenced for its March 23 meeting.

NASD Superintendent of Schools Joseph S. Kovalchik, NASD Business Administrator Matthew Sawarynski and NASD Secretary to the Superintendent Denise A. Vilkauskas again met in the administration building meeting room as the school directors and Attorney C. Steven Miller spoke from their homes.

The coronavirus has overshadowed all aspects of life in the school district, including the 2020-21 district budget, which the NASD administration revised for the April 6 discussion by trimming more than $1 million, which might eliminate a tax hike.

The discussion was in preparation for the next school board meeting, 6:30 p.m. April 20, when school directors are expected to take a straw vote on three options for the 2020-21 budget: a 2-percent tax hike, a 1-percent tax hike or a zero-percent tax hike.

The straw vote result will give guidance to Sawarynski to prepare an updated budget, expected to be voted on by the board at the May 4 meeting. That would give the district the required 30 days to advertise the budget before a vote on the final budget planned for the June 8 board meeting.

“Matt (Sawarynski) and I were working on a proposed budget presentation before the pandemic,” Kovalchik said. “But that presentation changed drastically because of the economy and the health of all people.”

Kovalchik outlined budget categories he and Sawarynski trimmed. Technology updates include purchasing Chromebooks for one grade, instead of the planned four grades. The estimated cost is $342,000.

They also cut back on equipment and supplies for maintenance needs, at an estimated cut of $200,000.

The estimated budget cut for adjustments to staff development, conferences and field trips is $100,000.

When it comes to personnel matters, the assistant director of curriculum position has been eliminated. The district is not replacing positions at an estimated budget cut of $500,000.

“There’s certain positions we cannot do without,” Kovalchik said. “Number one is the middle school principal. Number two is a districtwide psychologist. Number three is a middle school autistic support teacher. And number four is a Lehigh Elementary School art teacher. We’d like to post those jobs sooner than later. They’re essential positions we need to have.”

A third-shift maintenance position has been eliminated because of a retirement. The estimated budget cut is $50,000, including benefits.

The administration is proposing a $600,000 contingency fund, about double what is typically budgeted.

“That’s a summary of some of the cuts we’re looking at to get whatever percentage you folks want to get to,” Kovalchik said to school directors.

The NASD 2020-21 preliminary budget was approved Jan. 13, with the general fund set at $114,717,283. Also approved was the NASD food service fund of $2,504,747 and NASD athletic fund of $258,743 for the 2020-21 school year.

Approval of the budget called for a 3.8-percent tax hike and use of $3.2 million from the school district fund balance.

The Pennsylvania Department of Education set the Act 1 Index at 3.2 percent for NASD for 2020-21, which is the maximum allowed tax increase for the district.

The PDE approved the NASD request for exceptions, which would allow a tax increase of more than the district index.

The tax impact of the preliminary budget requires 56.99 mills, an increase of 2.10 mills or 3.8 percent, from 2019-20 millage of 54.80 mills.

The average increase per household is $115, based on the district average residential assessment of $54,600, which accounts for 50 percent of NASD taxpayers.

“It’s unprecedented times and unprecedented decisions. With not knowing so many things, it’s going to be difficult to get a budget out,” Gogel said at the April 6 meeting.

For March, April and possibly May and June, if schools do not reopen, NASD has saved or will save money on transportation, utilities, athletics, extracurricular activities and field trips.

“We’re assuming we’re not coming back to school this year, but we’re not quite sure,” Kovalchik said.

“With our schools being down, there would be a million dollars that we would be getting back by not having classes,” Frantz said.

“Do we anticipate to do better on expenses? The answer is ‘yes,’” said Sawarynski, adding, “We’ll do better by anywhere from a million to a million and a half. A lot of that’s going to be offset because the revenue is not as strong.”

The NASD administration had figured on $4.5 million in warehouse and development revenue, now reduced to an expected $1.5 million in revenue.

The administration had projected $560,000 in Earned Income Tax (EIT), now reduced to $375,000 in the budget.

“EIT revenues are down. People are not working,” Kovalchik said.

NASD included $175,000 in its basic education stipend from the state, but in the revised budget, Kovalchik and Sawarynski expect no funding from the state.

“We’re at a point right now of real uncertainty concerning the state,” school Director Chuck Longacre said. “They’ve delayed the personal income tax until the end of July. The things you hear from the state are pretty bleak.”

“We may not even see a state budget until the end of the summer,” said school Director Dr. Michael Baird, adding, “All the options have to stay on the table. It’s a shame that we have to pass it by June 30.”

Pennsylvania school districts are required by law to approve annual budgets by June 30.

“The (NASD) administration took a lot of money and cut it from the budget. I think the administration did a good job on delaying positions and getting it down to a manageable budget,” Gogel said.

“We’ve got a lot of bumps in the road, but I think we’re doing a fantastic job. The administration is doing a fantastic job,” Longacre said.

“I know a bunch of teachers,” said school Director James Chuss, adding, “They’re working extra hard. They’re putting forth a lot of effort.”

School Director John Becker said, “Just hang in there. If we can just hang in through this year, we’ll be OK.”