Hempfield Area homeowners could see their property tax bills increase by about $90 if the school board approves its 2026-27 budget plan next month.

The board voted 8-0 Tuesday to approve a $118.7 million preliminary budget with a nearly 4-mill property tax increase — the maximum allowable. Board member Vince DeAugustine was absent from the meeting.

Business Manager Paul Schott told board members last week district revenues for next school year are projected at $116.3 million, resulting in a $2.4 million deficit.

Revenues are expected to increase $1.9 million from 2025-26. About $1 million of that increase is expected to come from the state’s adequacy formula, which is aimed at more equitably funding schools.

The adequacy formula was brought on by a February 2023 court ruling that deemed the state’s education funding system unconstitutional. The state dedicated nearly $526 million to the formula in its 2024-25 budget and $565 million in the 2025-26 budget.

Gov. Josh Shapiro’s proposed 2026-27 budget, released in February, suggests another $565 million allocation to more equitably funding schools.

District expenses also are projected to increase next school year — nearly 4%, 0r $4.3 million.

Earlier this year, district officials agreed not to exceed the maximum allowable tax hike, which for Hempfield is 3.99 mills. The board’s preliminary budget closes the $2.4 million deficit with a 3.99-mill property tax increase and $260,000 of district savings.

The 4.2% hike would raise the tax bill for the owner of a property with the median assessed value of $22,660 by about $90.

District capital projects — including the $119 million high school renovation — did not contribute to the budget deficit, Schott said.

The board approved bids for the long-awaited renovation in March. District officials previously said they will break ground on the project June 1.

Hempfield Area School Board expects to vote on a final budget at 7 p.m. June 22 in the administration building, at 4345 Route 136 in Hempfield.