Property tax and excise tax are capped by a ballot question at 2 percent annual increase. And we have state aid, we have general aid that is based on a statewide formula. We have education allotments, which is the Education Reform Law, which mandates per pupil expenses statewide. In Easton's case, approximately 75 percent of our education costs are funded by the state, the remaining amount must be funded by the local revenue. The last piece is the Lottery aid.
Local officials are pretty much hamstrung by the formulas and mandatory funding needs.
Local fees and Lottery aid work are the safety net for local government. As mentioned before, mandatory spending matched with dedicated revenues determine most of our budget decisions. In Easton, we obviously fund our mandatory expenditures first, and then allocate the remaining funds to cover the most pressing needs. During budget formulation, Easton conservatively level funds Lottery aid, any increase in the aid is used to cover unexpected needs. The past few years the increase in Lottery aid has been used to cover unexpected tuition costs for new special needs children, cover the unanticipated costs of snow removal, or fund building safety repairs.