The Eastern York school board adopted its final budget Thursday with a 2.6 percent increase in property taxes.

The board passed the $42.0 million budget in a 6-2 vote. Board members Robert Flaharty and Darvin Shelley voted against the motion.

The board voted 7-1 in a separate motion to approve the tax increase to 20.28 mills, which is the cap set for the district this year by the state Department of Education. Shelley voted against the tax increase.

With the increase, property owners with a home valued at $150,000 will see an increase of about $77 on their tax bills this fall.

Budget balance: The district also will use $645,000 from its funds set aside to help cover retirement costs, and $105,000 from a surplus fund to balance the budget.

With that $750,000 cost to balance the budget, the district has a remaining $2.2 million in its general fund balance, according to district budget documents.

The district went from a $1.4 million deficit in its preliminary budget to $750,000. Business manager Teresa Weaver said some of those savings came from refinancing debt and by replacing retiring teachers with teachers who will earn lower salaries, among others.

The main cost increases this year came from retirement and benefit costs, Weaver said. The budget does not include any program or staff cuts, she added, and the district was able to replace all teachers who retired this year.

— Reach Nikelle Snader at nsnader@yorkdispatch.com.