A financial windfall of $115,000 is expected to be added to the contingency fund of the 2015-16 budget for Northampton Area School District.

In an unofficial straw vote at the May 18 NASD board of education meeting, the majority of school directors said they favored adding the savings to the contingency fund.

School board President David Gogel and school Director Roy Maranki were the two school board members who opposed adding the amount to the contingency funding, saying they favored applying the savings to reducing the proposed NASD tax millage for 2015-16.

The 2015-16 budget contingency fund is $200,000. The additional amount would bring the fund to $315,000. The money to be added is the result of savings from a recent refinancing by the district.

Because NASD has a AAA Moody's rating, it is saving $30,000 in insurance it doesn't have to pay.

The NASD unrestricted fund balance is at 5.58 percent. It is expected to increase to 5.7 percent. The Pennsylvania Department of Education recommends 5 to 8 percent.

A bond sale May 14 for new financing for the Northampton Area Middle School and Secondary Campus Renovation Project netted a 2.97-percent rate. There were four final bidders. This reduces the millage required for the middle school project from 1.68 mills to 1.59 mills.

If the amount would be applied to the proposed 2.27-percent tax hike, it would be reduced to 2.05 percent for a savings on the average tax bill of $6.36 annually.

During discussion prior to the straw vote, school Director Dr. Michael Baird, who favored adding the money to the contingency fund, said to NASD Superintendent of Schools Joseph Kovalchik, "I strongly suspect you may have to hire staff."

Said school Director Charles Longacre, who was not at the meeting but spoke via a speaker phone, "I think the watchword for the year is uncertainty."

"I think we should go with the contingency and if we're lucky, it can go to taxpayers," said school Director Jean Rundle.

"I, myself, would like to see it go to taxpayers," Gogel said.