The Big Takeaway
Bensalem Township School District has released its preliminary budget for the 2026-2027 school year, signaling a potential tax increase that exceeds the state-mandated limit. The board is currently proposing a real estate tax rate of 196.3004 mills, which represents an 8.26% increase over the previous year—nearly double the district’s “Act 1 Index” limit of 4.2%.
Because the proposed tax revenue exceeds the state cap by approximately $4.57 million, the district intends to apply for a Special Education Exemption to justify the hike. Currently, the district is projecting total expenditures of $204.19 million against revenues of $197.73 million, which would leave the unassigned fund balance at a $5.5 million deficit by June 2027.
Where the Money Comes From (Revenue)
The district relies heavily on local homeowners, as 68.3% of its funding is generated locally.
- Local Sources ($135.03M): The bulk comes from Real Estate Taxes ($118.3M). Other local income includes Business Privilege Taxes ($5.5M), Real Estate Transfer Taxes ($2.18M), and Investment Earnings ($2.47M).
- State Sources ($59.69M): This includes the Basic Education Subsidy ($22.87M) and Special Education funding ($6.22M). Notably, $15.69M of state money is strictly earmarked to cover mandated Retirement (PSERS) and Social Security costs.
- Federal Sources ($3.0M): This primarily consists of Title I funding ($1.69M) for disadvantaged students and Medicaid reimbursements ($824k).
Where the Money Goes (Spending)
The district’s $204.19 million spending plan is focused on the following key areas:
- Instruction ($131.16M): Covers regular classrooms ($75.1M) and Special Education programs ($50.9M).
- Support & Facilities ($50.09M): Includes Student Transportation ($10.08M), Building Operations/Maintenance ($11.08M), and Student Health Services ($2.42M).
- Safety Net ($9.05M): A Budgetary Reserve set aside to handle unanticipated costs during the school year.
- Debt service & Transfers ($11.9M): Funds used to pay down long-term debt and interfund transfers.
For the Taxpayers
While the tax rate is increasing, the budget does include $3.95 million in state property tax reduction allocations (Homestead Exclusions) to provide some relief to eligible residential homeowners.
Personnel Moves
Routine staffing changes only. While the budget allocates over $50 million for instructional salaries, no high-level administrative hires were specifically detailed in this preliminary document.
Note: This summary is based on the official Proposed Preliminary General Fund Budget for the 2026-2027 Fiscal Year provided by the Bensalem Township School District.
