The Spring Grove Area School District is facing an expense in excess of $350,000 to replace a broken chiller at the intermediate school.

The 250-ton chiller is responsible for cooling the classrooms and hallways at the intermediate school, explained Mark Czapp, district support services director. With the warmer temperatures experienced in March when the chiller broke down, Czapp said some of the classrooms were reaching the high 70s.

The school is operating with a rented chiller while bids are solicited for replacement and installation of the new machinery.

The board Monday approved entering into a contract with Barton Associations for engineering services to replace the chiller. The contract is for $34,500 and district business manager George Ioannidis estimates the chiller itself will cost between $350,000 and $400,000.

That cost will be covered through the district's capital reserve fund, which currently contains about $1.2 million. The project will not impact the 2012-2013 budget, officials said.

The unit being replaced is several years old and had undergone many repairs, according to Czapp.

Ioannidis said the goal is to have the new unit up and running prior to the start of the 2012-13 school year.

In other business: Board members are scheduled to vote on a tentative 2012-13 budget at the April 16 board meeting. A copy of the proposed budget is available for review at the district business office and on the district website.

Currently, the preliminary budget includes a tax increase of 2.1 percent, which would result in a $41 increased real estate tax on a home assessed at $100,000. The board will discuss additional ways to reduce the expected deficit in the budget prior to voting.