WARETOWN – Students and teachers in the local school district never know whether their classrooms will be too hot or too cold as aging heating and cooling systems strain a district already paying for roof leaks, damaged materials and emergency repairs.
After years of repairing systems that are now as much as 33 years old, the Ocean Township School District is asking voters to decide on a $12.7 million bond referendum in the November 3 General Election. The proposal would fund roofing, heating and cooling systems, emergency generators, fire alarm equipment and other improvements at the district’s two schools.
The district expects approximately $4.3 million of the project costs to be offset by state aid if voters approve the referendum. Officials estimate the impact at approximately $4 a month for a home assessed at Waretown’s average of $466,994.
District officials attributed much of the district’s financial pressure to rising costs, increased tuition payments to Southern Regional and the loss of state aid. Superintendent Ariane Phillips said those same financial issues left the district with little money in its capital reserve to undertake major building projects.
Since implementation of the state’s S-2 school funding law, Ocean Township has lost approximately $5.2 million in state aid, Phillips said. She added that another $1.2 million in state aid was withheld during the past two years because of a state cap on the amount of increased aid a district may receive.
Rising healthcare, transportation, utility and special education costs, along with increased enrollment, have added to the strain.
“Every additional dollar of property tax matters,” Phillips said in written responses to questions about the referendum. “However, the district continues to work diligently to control costs and find efficiencies wherever possible, as rising costs are outpacing the district’s annual budget increase.”
Aging Systems Affect Classrooms
The improvements were identified through inspections and evaluations conducted with the district’s engineers and architects beginning in 2024, according to Phillips.
Roof sections included in the proposal are more than 20 years old. Boilers and chillers are approaching 20 years, while other heating, ventilation and air conditioning equipment included in the referendum ranges from 20 to 33 years old.
Phillips said classroom temperatures fluctuate and cannot be adjusted without submitting a request to the district’s facilities department. She said inconsistent temperatures can make it difficult for students to focus. It also complicates efforts to control humidity and moisture, potentially damaging materials, creating slippery surfaces and reducing air quality.
When leaks occur, Phillips said, the district must pay not only for emergency repairs but also to replace affected materials. Those unplanned expenses must be absorbed by an annual budget already under considerable pressure.
“Every dollar put toward patching aging infrastructure is another dollar diverted away from classroom instruction and thereby our students,” she said.
One section of the Waretown Elementary School roof deteriorated to the point that the district could not wait for the referendum. Severe leaks could no longer be managed through repairs, and the district used its own funds to replace that section in fall 2025.
Where The Money Would Go
Frederic A. Priff School would receive approximately $5.9 million in improvements, supported by an estimated $2 million in state aid.
Heating, ventilation and air conditioning improvements represent 77% of the proposed work at Priff. Projects include replacing selected classroom units, a rooftop HVAC unit, the multipurpose room air handling unit, boiler and chiller.
Roofing represents another 22% of the Priff proposal. The work would cover selected areas that have reached the end of their useful lives but would not include the shingle roof over the gym. The remaining 1% would be used for safety and security improvements, including an upgrade to the existing emergency generator.
Waretown Elementary School would receive approximately $6.8 million in improvements, with an estimated $2.3 million supported by state aid. HVAC work makes up 84% of the proposed spending at that school. The projects include selected classroom HVAC units, a rooftop unit, several types of air-handling equipment, a chiller and boiler.
Roofing accounts for 12% of the Waretown Elementary proposal, excluding the section replaced in 2025. The remaining 4% would pay for generator upgrades and fire alarm equipment intended to improve emergency communications.
State Aid Depends On Voter Approval
Phillips said every project has received preliminary state approval and qualifies for the maximum available aid. The state Department of Education determines which construction and related costs are eligible for assistance.
The New Jersey Department of Education issued preliminary cost estimates indicating state support equal to 40% of eligible project costs. However, Phillips said the state has appropriated aid at approximately 34% during the past 12 years of the program.
If the referendum fails, Phillips said the district would not receive state aid for these capital projects. The district would then need to continue making repairs or find another way to pay for replacements as equipment fails.
“In many cases, temporary repairs simply postpone a larger expense,” Phillips said. “This is an opportunity to leverage state dollars to address needs that our district will eventually have to confront.”
New Debt Would Replace Expiring Debt
The proposed bond would be issued for 20 years at a projected interest rate of 4%, according to the district. Phillips said the district timed the proposal to coincide with the final payment in 2027 on debt from a previously approved referendum. Officials say the previous debt will be paid off as the new payments begin, allowing the overall school tax rate to remain steady.
Phillips said the district’s financial projections account for interest, contingency expenses, permitting, professional fees and other construction-related costs. State aid would be paid annually toward both principal and interest on the bonds.
“We recognize that we have a responsibility to our taxpayers and have put together a thoughtful and fiscally responsible plan to maintain our schools and address the most critical facilities needs, not wants,” Phillips said.
Additional information about the proposal is available through the school district. Residents may also submit questions through November 3 by emailing vote@otsdk6.org.
