Albert Lea Area Schools taxpayers are facing a tax cut after the Albert Lea school board on Monday unanimously approved a preliminary 2.25 percent decrease in the 2016-17 tax levy.

The decrease is due to a new long-term facility maintenance funding avenue, said Lori Volz, district director of finance and operations.

The funding avenue replaces health and safety and deferred maintenance formulas and expands what it can be used for.

There is a greater equalization of state aid compared to the local levy with the new funding formula, meaning less of a burden for taxpayers, Volz said.

“We’re going to get a greater share of state aid and less of a local levy for those projects,” she said.

In the 2016 levy, there are exterior upgrades and a capital share of costs regarding HVAC upgrades planned.

Estimated effects will be made available at the Dec. 7 truth in taxation meeting.

“This is good news because the school levy is going down,” Volz said. “This is a form of property tax relief.”

Volz anticipates the tax levy changes will probably be level in the upcoming year because of the updated funding formula.

Although taxes are likely to rise 5 to 10 percent in the next three years within the school district due to district maintenance projects, there could be items that decrease the projected tax increases a few years down the road, Volz said.

The final 2016-17 school board tax levy will be approved in December. The budget has to be approved by June 2016. Budget discussions will begin in January. Volz said the budget discussions will focus on operating efficiency and maximizing funding entitlements.

Volz said the school district usually limits its tax levy increases because of efficiency and careful planning of projects.

This is the second year the school district’s tax levy has decreased. Last year it went down 1.3 percent.

This year’s tax levy is preliminarily set at approximately $7.5 million, a decrease of $173,000 from last year.