Property owners in Norwin could face a 4% increase in their real estate taxes for the upcoming school year, based on a shortfall of about $1.5 million in the budget.

The tentative budget projects $99.08 million in expenses, but just $97.52 million in revenue.

The Norwin School Board on Monday adopted the tentative budget for the 2026-27 school year that would increase property taxes to 100.2 mills in Irwin, North Huntingdon and North Irwin in Westmoreland County and to 15.97 mills on 18 properties in South Versailles and White Oak in Allegheny County. The difference in tax rates reflects the different property assessments in the two counties.

“There will be some changes on the expense side,” said Ryan Kirsch, Norwin’s director of business affairs and chief financial officer.

Norwin levied a 96.3-mill tax rate on property in its Westmoreland municipalities during the current school year and 13.93 mills on those 18 properties in Allegheny County.

The proposed 4% increase in the property taxes is less than the 4.5% maximum increase that Norwin could have implemented for 2026-2027 under the state’s Act 1 index. Norwin in January had passed a resolution that it would not increase taxes more than the maximum as determined by the state.

Not all of the money that Norwin collects from its Westmoreland County properties goes to the school district; Norwin allocates the revenue from 1.2 mills for the Norwin Public Library, as approved by a voter referendum.

In the current fiscal year that ends June 30, the Norwin school board raised real estate taxes by 4.67 mills for the property owners in the district. That was the maximum tax hike permitted under the Act 1 index.

None of the school board members Monday asked Ryan Kirsch about the budget or the potential tax hike.

The school board could approve the final budget at its next scheduled meeting on June 8. Norwin, like other school districts, has until June 30 to approve the budget.

Superintendent Natalie McCracken said following the meeting that school officials will continue to review the projected revenue and expenses in the budget.

“We’ll try to reduce the imbalance that exists” in the budget, McCracken said.

The superintendent said it was too early to predict where cuts in expenses may occur in the final budget.

Following the meeting, Kirsch said the district’s projected revenue from the state is based on the governor’s budget. Pennsylvania’s General Assembly and the governor are to pass a budget by June 30. But last year, the budget impasse dragged on until almost mid-November.

The district also is paying $1.55 million in debt service from local revenue for a $39 million bond issue last year to cover the cost of the $25 million extensive stadium renovations and the $6.3 million performing arts center at the high school.