School Budget Up for Adoption

The Board of Education is set to adopt the 2011-12 school budget Tuesday, a spending plan that has a flat tax levy, well below the state-mandated two percent tax levy cap. 

Last year's school budget was defeated by voters  during the annual school elections, where residents can head to the polls to either approve or reject the adopted budget. Defeated budgets go to the township council for a review, where they can be adopted as proposed or cut. This year's budget will be up for a vote April 27. 

The $50,711,869 million spending plan, tentatively adopted earlier this month, is a .3% reduction from this year's plan. Savings were achieved through shared services with the township for parking lot paving, a favorable HTEA contract settlement that calls for no salary increase in 2012, ongoing energy efficiencies in the facilities and the discontinuation of in-house bus service in favor of outsourcing. With the restoration of some state aid, the tax levy remains flat at $47,180,371.  

According to the tentative budget adopted earlier this month, Holmdel homeowners will see a zero hike in the school portion of their tax bills. Previously, the board had spoken of a 1.5 increase, but had since found savings through bus service outsourcing. The plan was explained in detail at the State of the District presentation on March 16. The presentation can be seen here. 

Nearly 81 percent of the 2012 budget is set aside for salaries and benefits. Salaries increased by .1 percent to $32,435,431, due to negotiations and impact of removing 13 bus drivers and 4 aides from district payroll. Employee benefits were reduced by .5% , to $8,519,285, due to the new transportation plan, and the impact of 1.5 percent employee contributions to their own health care.

Transportation expenses will increase 26.8%, as the district will pay for the bus routes through outsourcing. But insurance costs would decrease 14.9 percent because the district would not have to insure the transportation vehicles. They would also sell off the fleet of 14 vehicles for a $250,000 savings.

Utilities are decreasing 8.5%, to $1,843,956, due to the aggressive energy conservation efforts.

The budget includes a plan for a new computer lab at the Satz building, and the removal of a wall in one of the high school pod classrooms, to enhance instruction. These changes require a 7.6% increase in spending, to $1,168,118.

A 20.6 percent decrease in lease obligations line item, down to $423,234, is due to 2005 debt service coming off the books. 

Check Holmdel Patch after tonight's budget meeting for all the details on the adopted budget and reaction from the public. The meeting begins at 8 p.m. There will be an energy efficiency presentation by the district's plant manager, William Balicki.