LAKEHURST – Spring not only brings flowers and warmer weather, but budget presentations that often feature tax increases. The borough’s council and school board recently introduced their respective spending plans.
Borough Councilwoman Bernadette Dugan who heads the council’s finance committee reported that taxpayers would see an increase in their municipal taxes. “The hearing for the municipal budget will be May 1 and we kept it as tight as possible. The chief financial officer will be available for the public to answer questions. For an average residential assessment of $250,000, the three cent increase amounts to $75 per year.”
In the case of school district taxation, Business Administrator Joseph Firetto explained to The Manchester Times that the school district budget provided a 6.0 tax rate increase “which includes the operational costs as well as the debt levy that we already have.”
“The debt was already approved as part of the referendum from last year (that was approved to raise funds for a new roof and new kitchen and cafeteria area for the Lakehurst Elementary School). We are in a unique situation. State aid – we were kept at 6% in terms of the increase which on paper was very positive in terms of funding for the district.”
The state declared that school districts will not receive more than a 6 percent increase in state aid, which some districts have found difficult when costs like insurance and fuel increase more than 6 percent a year.
Firetto added, “when you look into the finer details there is a shift in terms of the funding, but the positive news a lot of the funding went to our special education. We saw a 50% increase in special ed funding but due to the nature of the costs with private placements as well as support services for these students, it is not nearly enough to support our special ed population.”
“Just like every other student in the district, we always want to provide everything, to the best of our ability, to these kids,” the business administrator said. He noted in terms of grants “they have been drastically reduced as well as Medicaid for our special ed population. Medicaid dropped 83% from last year to this year.”
He noted that this was part of the federal administration change. “State and federal level grants have dropped 25%.” With proposed plans to dismantle the Department of Education on the federal level, “it looks pretty dour. We are monitoring all of this and monitoring what the state and federal departments are doing. The executive order came out for the dismantling of it.”
“We don’t see that as being an effect in terms of funding because I understand (grants/federal funding) would be dispersed by other agencies however it is a concern for the future,” Firetto said.
Firetto noted that the borough’s student population is growing. “We were at 381 kids two years ago and now we are at 411. We need to make sure that the funding reflects that.”
“The fact we are able to maintain operations and keeping class sizes at a comfortable rate within state guidelines, that is our goal,” the business administrator noted.
In terms of last year’s referendum, “the cafeteria is running well,” he said. “Last year we projected a loss of start-up costs of $25,000. Now we are projecting at the highest a $10,000 loss if not close to zero to break even in start-up costs. It has been very successful.”
Previously, the school district contracted food service with the Manchester Township School District which brought in food to the elementary school. The new system of on-site food service was deemed a cost savings and a benefit in providing service.
“We are moving forward. We are looking for support not only from the Board but the parents and the community,” Firetto said. The next Board of Education meeting is set for April 30 at the school which will include regular business and budget adoption.
Board of Education Vice President David Burton told The Manchester Times, “We are trying to do everything we can to benefit the kids and the taxpayers. It is very difficult but the kids are important. I’ve been here for a long time and it is never easy.”
“You try to squeeze that rock to get more money out of it and there is just no more money to get especially when the state handcuffs you with by not telling you until the last minute to what you are getting (in state aid). They dictate what you are getting but they don’t tell you what you are getting until your budget is almost done,” Burton added.
