Holmdel School Board Introduces Budget With a 1.5% Tax Increase

The Holmdel Board of Education introduced a tentative $51 million school budget that calls for a 1.5 percent tax hike for the 2011-2012 school year at its March 2 meeting at the Satz School. 

The 2011-2012 general fund budget is two-tenths of a percent larger than the current year's budget. The total amount to be raised by taxes to support the budget is $47,888,077, an increase of $707,706,  said Board Business Administrator Michael R. Petrizzo. 

The 1.5 % tax rate increase is less than the state-mandated 2% cap on property tax levies. 

General Fund

Special Revenues

Debt

 Service

TOTAL

2011-2012 Total Expenditures

$50,969,575

$1,441,403

$3,113,858

$55,524,836

Less: Anticipated Revenues

3,081,498

1,441,403

-----

4,522,901

Taxes to be Raised

$47,888,077

 -

$3,113,858

$51,001,935

The proposed budget includes $508,703 more in state aid. The Holmdel district was notified it will be receiving $905,006 in state aid, up from $396,303 from last year. 

The district is proposing a tax rate increase of 1.94 cents per $100 per assessed value. 

The owner of a home assessed at $616,769, the township average, would pay $119.65 more in school taxes, according to the school board. School taxes, with municipal and county taxes, comprise the total property tax bill. 

For the owner of a the home assessed at $616,769, the average in Holmdel...

 School tax 

Current school tax rate: 1.31 

$8079.67

Tentative school tax rate for 2011-2012 year: 1.3294 

$8199.32

Last year voters rejected the board's proposed 2010-2011 budget on April 20 that would have called for a tax hike resulting in a 4.24 cents per $100 per assessed value. After cuts by the Township Committee, the revised school budget was approved on May 26 with a total tax levy reduction of $1,011,695.

The budget will be further reviewed by the board's Budget and Finance Committee on March 7. “The number cannot go any higher, and it can even go lower,” said Board Vice President Barbara Garrity, a member of the four-member Committee.

"Its a matter of looking at all the pieces, all the critical things, the wish lists, and taking a sharp pencil and going through it line by line," said Garrity . "The truth is we try to support student achievement and be respectful of the taxpayers' purses." 

In remarks at the meeting, Petrizzo pointed out that the district received $97,327 in jobs funding from the federal government, via the state. The district also earned $400,000 in revenue through facility rental, tuition payments from taking several special education students, and the pre-K program. With other sources, the district is projecting $3,081,498 in revenue.

The board is planning two budget information sessions. The "State of the District" addresses, with slides and board members speaking on different topics, will be on March 16 and April 13 at the High School Commons.

The board's final vote on the budget will be on Tuesday, March 29. The school board election and public vote on the budget will be on Wednesday, April 27.