New Jersey school aid cut by 11 percent; Warren County districts to lose millions

Thursday, March 18, 2010
By SARAH M. WOJCIK
The Express-Times

PHILLIPSBURG | With Wednesday's release of state school aid figures for 2010-11, the reality is every bit as painful as the projections.

School districts have less than two weeks to come to terms with their budgets, with an 11 percent drop in total state aid.

Meanwhile state officials promise relief is on the horizon if the state Legislature and Gov. Chris Christie approve proposed pension, health care and collective bargaining reforms.

The figures released Wednesday by the New Jersey Department of Education will translate into some heavy decisions by school districts in the coming days, according to Warren County Executive Superintendent Kevin Brennan.

School district budgets are due March 31 for county review.

Phillipsburg Superintendent Mark B. Miller said the district faces a shortfall of about $3 million because of the school aid reductions.

"This one's going to hurt," Miller said.

Warren County will see about $14.5 million, or 13 percent, less in combined school aid while Hunterdon County aid will drop by $19 million, or 37.6 percent.

For a region that has kept budgets lean in the past, according to Brennan, this will be an especially tough year.

"These districts don't have a lot of places to go and get that money," Brennan said.

State Education Commissioner Bret Schundler defended the steep cuts made by the new administration as part of New Jersey's new financial reality under Christie.

Schundler said Christie has pulled money out of other state departments to avoid a 15 percent cut in state education aid.

"I think what this highlights is the priority that the Christie administration has put on school aid," Schundler said during a Wednesday afternoon news conference.

Though school aid cuts were far-reaching, state assistance rose for extraordinary special education and preschool education funding.

P'burg sees largest drop

The Phillipsburg School District will lose the greatest amount of school aid in Warren County, equaling about 6 percent less aid than the district received last year. Districts that typically received less state aid are among those who will see the greatest percentage reductions.

The Harmony Township School District will lose 64.5 percent of formula aid, or $344,000, and Allamuchy Township will lose about 54 percent, or $381,000. Schundler said 59 of the state's 591 school districts will lose all of what is known as formula school aid.

The Christie administration assured districts they would not see aid cuts greater than 5 percent of their school budget. Though that was true for most districts, some -- including Phillipsburg -- surpassed that figure.

In those instances, Schundler said drops in enrollment and other formula calculation factors were behind the steeper school aid cut.

'We have to cut staff'

State officials are pointing to bills that would require employee contributions toward health care and pension reforms as the light at the end of the tunnel for school districts, but Phillipsburg's superintendent has his doubts.

"First of all they have to pass and if they do, in what form do they come out as?" Miller said.

The school district has seen $15 million in state aid reductions in the last three years, Miller said. He worries the students will be the real victims of the state's budget crisis.

"We can't cut textbooks, we have to cut staff," Miller said. "And when you start sending teachers out you don't see it for a year or two, but the scores start dropping."

Districts faced with severe state aid cuts can request relief from the state's 4 percent cap on tax levy increases but Schundler said officials are urging districts to refrain from taking that tack.

Miller said he understands why.

"I don't want to put it on the backs of those people," Miller said. "I've got to cut and make sure I do what's best for the students of the district first and then the taxpayers of the district."