TUF - BOE Budget Cuts 2010

School Budget - 2010
Feb 25, 2010
Update March 1, 2010
Update March 21, 2010 - Prelim budget

On Feb 24, 2010 the Board of Education met to discuss the upcoming budget. This year there appears to be even more uncertainty about the money available and the various targets than usual.

One uncertainty is if there will be an opportunity for citizens to vote on the budget. Apparently some in Trenton believe that voters should not decide on the budget. If this happens then the usual 4% Levy CAP (the maximum amount that taxes can increase due to the schools) may be decreased. Decreasing it to 2% would mean a decrease of $4.985M off of the 133 Million dollar proposed budget.

If the budget is increased by 4% the taxes on the average home ($323K) will increase $146.14 due to schools alone.

The current proposed budget exceeds the 4% spending CAP by $2.8M. We also will likely not get last years $1.205M federal stimulus money. This will create a short fall of $3.853M. Even without a change in the election process the CAP may be lowered below 4% because the cost of living index this year is only 1.6%. If the CAP is limited to 2.5% then the short fall will be $6.75M.

To prepare for this the school district administration has decided to shoot for a $5.8M reduction in the budget for now. That will likely change after the Governors State of the State address. That is the time that state funding and many of these other parameters are decided.

The administration has prepared a suggested list of cuts to reduce the budget. Beyond the list, BOE President Pietrucha suggested that unaligned employees (employees that are not in a union and thus have no contract i.e. Superintendent, some secretaries) not be given raises. BOE member Holzheimer suggested renegotiating with the unions mid-contract.

Interesting web site http://www.state.nj.us/education/finance/fp/ufb/