ALLENTOWN, PA (April 23, 2026) - At its Thursday, April 23, 2026, Finance Committee-of-the-Whole Meeting, the Allentown School District School Board of Directors was presented with critical updates related to capital projects, district finances, and the state of the 2026-2027 budget.
A presentation on capital projects outlined immediate construction projects slated for Summer 2026, as well as long-term improvements needed to ensure schools remain safe, warm, and dry.
The District will leverage its existing $35.3 million Fund Balance to initiate the plan in 2026, with no impact on the General Fund operating budget in the first year. Well-maintained facilities are directly linked to improved student achievement, staff morale, and stronger community property values. In addition, modernizing infrastructure is expected to reduce long-term utility and operational costs.
“The condition of our aging infrastructure has transitioned from a mere operational challenge to a paramount safety priority,” said Dr. Whartenby, Chief Operations Officer. “For too long, emergency repairs, such as burst pipes or failing boilers, have diverted resources away from our students. Dedicated capital funding allows us to keep our resources focused where they belong: supporting students and ensuring they learn in warm, safe, and dry environments.”
Additional funding for these projects will come from a proposed 2.9% tax increase in the 2026-2027 school year budget. This marks the first time in three years that the District has proposed a tax adjustment, following a period of intentional fiscal discipline that has maintained an approximately 4% debt-to-operating budget ratio.
The 2.9% increase remains significantly below the state’s Act 1 index of 5.4%, and the impact is estimated to be $71 per year for the average Allentown homeowner.
This proposal follows recommendations from financial advisors at PFM and S&P Global to ensure sustainable revenue that maintains the District’s strong bond rating. To further mitigate the impact on the community, the District is developing a local tax rebate program to be operational for the 2026–2027 tax year. This program will provide financial relief to eligible senior citizens and individuals with disabilities earning less than $35,000 annually. More information on how the rebate program will work will be forthcoming. Currently, nearly 15,000 households already benefit from the Homestead/Farmstead Exclusion Program, which provides an average reduction of $1,032 per year.
“We understand that any proposed tax adjustment may raise questions within the community,” said Jeff Cuff, Interim Chief Financial Officer. “Our responsibility is to ensure that we are making thoughtful, long-term decisions that protect both our students and the stability of our school system. This proposal allows us to address critical facility needs while continuing to invest in high-quality learning environments that our students deserve.”
We encourage the public to engage in the next steps in the budgeting process, including:
- May 20, 2026, at 5:00 p.m.: Public Budget Forum, Hays Elementary School
- May 28, 2026, at 6:00 p.m.: Preliminary Budget presentation to the School Board of Directors
- June 18, 2026: Final Budget presentation to the School Board of Directors
Members of the Learning Community are also invited to submit feedback directly to the Business Office using Let’s Talk.
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