Ocean City School District presents $52.7 million 2025–26 budget; homeowner impact modest
Get AI-powered insights, summaries, and transcripts
Subscribe
Summary
Business administrator Tim Kelly presented the 2025–26 budget at a public hearing, describing $52.7 million in total appropriations, rising employee benefit costs, a proposed roofing project with partial SDA grant funding, and a tax levy at the cap that would raise an average homeowner’s bill modestly.
Tim Kelly, the district’s business administrator, presented the Ocean City School District’s 2025–26 proposed budget at a public hearing, saying total appropriations for the year are $52,700,000 and that the general fund appropriation (excluding some large capital items) is about $50,800,000.
Kelly told the board the budget presented was the same document introduced the previous month and has undergone county review. He said major cost drivers include employee benefits — “a rather substantial increase on the employee benefit side both medical and prescription, in the neighborhood of about 10%” — and student support services, with instruction and special education taking the largest shares of appropriations.
The budget presentation outlined capital spending plans and a potential roof project at the high school. Kelly said the district had received a New Jersey Schools Development Authority (SDA) grant for roof replacement but is discussing with SDA and its architect whether a recoat that would extend the roof warranty 20 years could be accepted instead of full replacement. He estimated full replacement costs at “probably in the 6 to $8,000,000 range” and a recoat at “probably the neighborhood of about 3 to $4,000,000,” and said the SDA grant could cover roughly 40% of the project if approved.
On the revenue side, Kelly said the proposed budget uses the tax levy cap, producing an increase in the levy of about $978,000. Combined with a higher assessed valuation in the city, he said the net effect is an increase of about one-half of one cent in the tax rate. Kelly translated that for homeowners: for a property assessed at $650,000, the increase would be about $32 per year.
Kelly noted other revenue and fund items: the district budgets most federal and state grants conservatively (typically at 75% of current allocations), reported special revenue/grant estimates of $1,800,000, and said the district has banked cap of just under $191,000 (unused levy capacity from prior years that can be spent in a future year but will sunset if unused). He also flagged tuition revenue from sending districts as an item to watch amid some declining enrollment from those sending districts.
Board members thanked Kelly and district staff for the budget work; Superintendent Dr. Angelo praised the business office and administration for preparing a “very responsible budget.” No adoption vote on the budget was recorded during the hearing; the meeting served as the public comment opportunity required before final action.
The board will carry any formal adoption or additional votes to a future meeting in accordance with the public hearing timeline and statutory requirements.