A report released Tuesday by the Pa. Independent Fiscal Office shows taxpayers likely would not save money if York County’s 15 contiguous districts merged into one.
State legislators representing the county requested the study last year.
The study did not include the West Shore School District since that district also includes parts of Cumberland County.
To read the full report, click here.
The study found salary ranges can vary from district to district. Since the state cannot force teachers to take pay cuts, it’s likely lower-paid teachers all would receive pay raises to bring their salaries in line with other teachers. The IFO found that would cost at least $31 million.
"And, it's difficult when you're merging to not go to the higher salaries…when you're dealing with union negotiations," said Rep. Stan Saylor (R-York County).
The report estimates there could be administrative cost savings anywhere between $6.9 million and $20.8 million if school districts were consolidated.
The researchers also found a county-wide school district would have a combined debt of $856 million. The study also notes due to the district's increase in size, there would be a loss of some federal revenue.
Researchers also looked at possible effects on taxes. Depending on how much is saved in administrative costs and where tax rates are set, the researchers found for the median homeowner, there could be a higher net impact on real estate and earned income taxes.
"At the 1 percent EIT rate, the median homeowner and wage earner would pay more in ten districts (Central York, Eastern York, Hanover Public, Norther York, South Eastern, South Western, Southern York, Spring Grove, West York Area and York Suburban) in all administrative savings scenarios," the report says.
For fiscal year 2012-2013, the millage rate in York City was 33.736, the highest in the county. The lowest was Northern York County at 14.920.
"What it unequivocally points to is that there is a gross inequity and that data does not lie. There is an inequity within York City School District and all of the surrounding districts," said Rep. Kevin Schreiber (D-York County). "We are a very fragmented state. The more we can do to encourage regionalization and thinking more as a county, I think that behooves us all."
During a presentation Tuesday, some of the Republican legislators pointed to their desire to see state and municipal pension reform as well as property tax reform.
"Pension reform statewide, and municipal, has to be on the table whether the new governor wants to admit it or not," said Rep. Seth Grove (R-York County).
