South River School Board outlines budget adjustments with 1.31% tax increase

The South River Board of Education held a budget presentation on April 28, 2025, outlining the financial plan for the 2025-2026 school year. The meeting focused on the district's revenue sources, expenditures, and the impact on local taxpayers.

Dr. Zircher began the presentation by highlighting that the budget will utilize a preschool aid grant to fund essential items such as classroom furniture, sensory room supplies, and instructional technology. The district plans to hire a minimum of two pre-kindergarten teachers and two paraprofessionals to support the new classrooms.

The budget's expenditure breakdown revealed that the largest portion, 27.7%, is allocated to instruction, followed by operations at 17.3%, employee benefits at 16.4%, and special education at 15.3%. The total budget is set at $61,161,580, reflecting a decrease of $26,787 from the previous year.

Mr. Rosa provided further details on revenue sources, noting a significant reduction in state aid by 1.9%, totaling $32,707,280. Other reductions included an 85% decrease in Medicaid reimbursements and a 25% cut in pre-kindergarten aid due to unfunded expansion requests. Overall, the district anticipates a total loss of approximately $1.4 million.

Staffing and healthcare costs represent 52% of the budget, amounting to $34,330,416, which is a 5.38% increase from the prior year. Despite a relatively flat budget, the district managed to accommodate this increase through collaboration with stakeholders.

The tax impact for residents was also discussed, with an estimated increase of 1.31%, translating to an additional $10.08 per month or $120 annually for the average household. The presentation concluded with a comparison of per pupil spending, indicating that South River spends $16,077 per pupil, which is significantly below the state average of $20,154, highlighting a funding gap of over $10 million.

The meeting underscored the challenges faced by the South River Public School District in balancing budgetary constraints while striving to meet educational needs. Further discussions and follow-up actions are expected as the district navigates these financial hurdles.