Haddon Township School District outlines options to close budget gap as state aid falls

HADDON TOWNSHIP, N.J. — The Haddon Township School District superintendent told residents at a community forum that consecutive reductions in state aid have created a projected multi‑year budget shortfall and forced the district to consider a mix of tax increases, use of one‑time reserves and program cuts.

The superintendent said the district had some state aid reduced last year and received a partial restoration; he said a more recent reduction and the withdrawal of funds earmarked for staffing mean the district now faces roughly $1.08 million in reduced state aid over two years and expects an additional projected withdrawal of about $637,000 next year. He described the state formula’s reliance on aggregate income and the 2% local tax levy cap as key drivers of the shortfall.

“Let’s hear from our community first before we delve into the tentative process for constructing a budget,” the superintendent said, explaining the forum format and urging residents to submit questions. He described options the board will consider in the coming weeks and said the district must submit a tentative budget to the county by the statutory deadline to preserve eligibility for a newly announced state program distributing $20 million among eligible districts.

Why it matters: state aid that districts use to fund staffing and programs has shifted…