Lakewood school budget shows 11.7-cent increase in tax rate

Staff Writer

By cindy tietjen

Lakewood school budget shows
11.7-cent increase in tax rate

The Lakewood Board of Education voted unanimously to adopt its proposed budget for the 2002-03 school year at its regular meeting Monday night.

The $78,573,603 budget that will be used to operate the township’s K-12 school district will raise the local school tax rate by 11.7 cents per $100 of assessed valuation, according to information provided by the board.

The owner of a home assessed at $100,000 will pay about $120 more in school taxes next year, while the owner of a home assessed at $150,000 will pay about $180 more in school taxes.

Lakewood’s school tax rate is currently $1.518 per $100 of assessed valuation. Under the proposed budget, the tax rate will rise to $1.635 per $100 in 2002-03. That means the owner of a home assessed at $100,000 who now pays $1,518 in school taxes will see that figure rise to $1,635. The owner of a home assessed at $150,000 who now pays $2,277 in school taxes will see that figure rise to $2,452.

Residents will vote on the budget in the April 16 school election. If the budget is defeated, it will be sent to the Township Committee, which will review the spending plan and has the option of recommending cuts in the budget.

Although the board’s acceptance of the 2002-03 budget was not welcomed by some members of the public, board members stood by their belief that the budget was fair.

Before hearing from members of the public, the chairman of the ad hoc budget committee told the board that the panel’s members support the budget and do not believe any revisions are necessary.

"The ad hoc committee was created to provide the board with community input," said Chet Galdo, who is a candidate for the board in the April 16 school election. "The committee supports this budget as tentatively approved with no revisions necessary."

Although Galdo said the ad hoc committee accepted the proposed budget, he said the panel’s members had suggestions for the board.

"The ad hoc committee suggests that the board focus on these particular areas in the future," Galdo said. "There needs to be greater communication between the board and the township. We also suggests that a community activist group be formed in order for people to have a place to share their ideas."

The board members accepted the recommendations and thanked the members of the ad hoc committee for their work.

According to school district Business Administrator Kathryn Fouto, the total amount of the proposed budget is $78,573,603, a figure that represents a 6.9-percent increase from the 2001-02 budget. The proposed budget is $5 million higher than the current year’s spending plan.

The local tax levy to support the 2002-03 budget will be $45,208,438.

The general fund has also increased. For the 2001-02 school year, the general fund was $53.6 million. For 2002-03 that amount has been raised $5,337,115 (9.9 percent) to $58.9 million.

The debt service portion of the budget is down $20,527 from 2001-02, to $1.17 million for the 2002-03 school year.

As with all school districts in New Jersey, Fouto said a freeze in state aid that will keep the 2002-03 figure at the same level as 2001-02 really affected the budget.

"We received the same state aid as last year," the business administrator said. "We were hoping to receive more and obviously that affected the numbers."

Fouto said the 2002-03 budget is slightly different from previous years because state officials directed the district to use a zero-based budgeting scale," which Fouto explained, "Means we have to justify everything we request."

Additions to the 2002-03 budget include 19 new teaching positions and the installation of summer school.

"Every year until now we have under-budgeted and now it is catching up with us," said Fouto. "We think the 2002-03 proposed budget is an appropriate way to begin rectifying that."

Approximately 100 people attended the public hearing, which was held in the auditorium of Lakewood High School.

One resident suggested that the board look for ways to make cuts to the budget.

"Although everyone in this town is concerned with the safety of our children, we spend so much money busing them every year," he said. "The district should work with the township to build sidewalks and have a bigger police presence so that the children could get home safely and not have to be bused."

The crowd, often booing at the board, cheered at the words of resident Tom DiMartino.

"The budget is $78 million, $45 million of which is the community’s responsibility (the local tax levy)," he said, gesturing to the people sitting behind him. "How much of an increase is that from previous years? 20 percent? 30 percent? 40 percent? Do I have time to go on? 50 percent? No. It is an increase of 80 percent."

DiMartino finished speaking while the crowd cheered for his words.

"The amazing part about the increase in the budget is that records show there has not been an increase in public school enrollment," he said.

DiMartino said that a few years ago the Lakewood school district was able to operate with a much lower budget and he questioned the present increase.

"Lakewood has always tried to budget at the bottom of the box, so to speak and that has come back to haunt us," Fouto said. "One of the ways to catch up is to start budgeting at the top of the box."

Fouto said a new state aid formula was instituted in the 1997-98 school year and ever since then the district has been receiving less and less money.

According to information provided by the board, the district received $18.89 million in state aid during the 1996-97 school year and $14.03 million in state aid during the 1997-98 school year. This year the district will receive $13.60 million in state aid.

James Waters told the board that compromise between the board, the local government and residents is the key to repairing the district.

"We all have to compromise, but I do have to say, my main concern is where are we going to be five years from now? What about 10 years from now," he asked.

Waters told the board he was disappointed in what Fouto referred to as "under-funding."

"When you under-fund, you don’t just hurt the budget, you hurt the students," he said. "We need to provide a foundation that supports these kids. If they drop behind in the third or fourth grade level, they will never catch up."

Before leaving the podium, Waters left the board with this thought: "I do not wish to disrespect any member of this board, but it seems that there is more common sense coming from the students than from the board."