Merrimack Valley School District voters will weigh a 5.9% budget increase and decide two contested school board races on Friday.

The proposed operating budget for the five-community district is $48,298,106, up almost $2.7 million from last year. The increase is driven largely by increased costs in contracted special education services and healthcare for district employees, factors seen in multiple school districts across the region.

If approved, the budget would mean a range of increases for each of the district’s towns, except the village of Penacook, where the tax rate would decrease by 17%, but still remain the highest, according to estimates by the district.

Boscawen’s school tax rate would increase by 14.7%, up $1.67 to $13.00. Loudon’s would increase only 1.7%, up $0.21 to $12.92. Salisbury’s would increase 10.5%, up $1.11 to $11.68. Webster’s would increase 11.7%, up $1.04 to $9.95.

The highest increase, in Boscawen, would mean $501 more in taxes on a $300,000 home. By comparison, in Loudon, the increase means only $63 more on property of the same value.

In Penacook, school taxes would go down $2.96 to $14.51 — that’s a drop of $888 on the tax bill of a $300,000 home. The rate would remain the highest of the five communities.

That decrease has two driving factors: a boost in state aid to Penacook and a slight drop in its student population. Penacook is set for an increase of more than $640,000 in state education funding, through adequacy and the Statewide Education Property Tax, and its student enrollment also went down by about half of a percentage point, according to Superintendent Randy Wormald.

Also on the warrant is a collective bargaining agreement with the administrators’ union and $150,000 for a maintenance trust fund.

Voters in the school district will settle two contested school board races.

The 11-member Merrimack Valley School Board has two members from each town and one at-large member that serve three-year terms. Town-specific seats are elected at-large by district voters.

Incumbent Melissa Muzzey is the only candidate on the ballot to represent Webster.

Incumbent Laura Vincent is being challenged by Howard Pearl Jr. to represent Loudon.

Julia Jones and Louise Andrus are facing off to represent Salisbury, a seat current board chair Seelye Longnecker is vacating.

A forum will be held Wendesday at 6 p.m. at the Loudon town offices for voters to meet the candidates.

Current Moderator Charles Niebling is running unopposed for another term. Polls will be open for moderator and board elections from 11:00 a.m. to 7:00 pm this Friday, March 8. The district’s annual meeting start when polls close.