Evesham Township School District projects $7 million shortfall; superintendent outlines staff, schedule and program cuts

Evesham Township School District Superintendent Dr. Smith told the Board of Education on Jan. 30 that the district faces a roughly $7 million budget gap for 2025–26 and outlined a package of proposed spending reductions and revenue options to close more than half of that amount.

“This year's budget is particularly painful, and we wanted to get the information out as soon as possible,” Dr. Smith said during a preliminary budget presentation, noting the district has lost more than $7,149,080 in state aid since 2018 and currently spends about $3,566 less per pupil than the New Jersey K–8 average.

The presentation is intended to start public discussion months ahead of the March tentative-budget deadline. Dr. Smith and district staff said the gap reflects a years-long reduction in state aid, annual wage and benefits increases that typically exceed local tax-levy growth limits, rising special-education and transportation costs, and one-time revenue sources the district used last year to avoid deeper cuts.

Why it matters: Evesham is constrained by the state 2% tax-levy cap and says its cumulative loss in state funding is large relative to enrollment changes. The administration said the $7 million shortfall cannot be absorbed without changes that would affect staffing, schedules and some programs across the district’s six elementary and two middle schools.

Key figures and proposed steps

- Total deficit reported: approximately $7,000,000. Dr. Smith and assistant superintendent/finance staff described roughly $4.3 million in identified steps that would be implemented first, leaving about $2.7 million still to find. - State-aid losses: the presentation cited a $7,149,080 reduction from 2018 to 2025 and projected cumulative assumed losses approaching $39 million if current trends continue. - Per-pupil gap: the district said it spends about $3,566 less per pupil than the state average for K–8 districts; with an enrollment around 4,500 students that translates to roughly $16 million versus the state average, the superintendent said.

Major proposals described by district leadership (with estimated savings presented by staff): - Outsource remaining district transportation routes (maintain only coordinator positions and some senior drivers): estimated savings of at least $800,000, plus potential lease revenue from buses and the transportation yard. - Increase walking, consolidate bus routes and eliminate late buses: preliminary estimate of at least $100,000 (savings from elimination of late buses still being calculated). - Reconfigure middle-school staffing (move from team-time model to six-class schedule for some teachers and increase middle-school class sizes): paired efficiency steps projected to save about $1.8 million. - Elementary class-size increases (maximums raised by about two students per grade, kindergarten capped at 20 per a prior decision): estimated savings of eight teaching positions (~$640,000). - Phase out health benefits for a subset of paraprofessionals (about 30 affected; estimated savings $750,000), with seniority protections for some pairs as previously negotiated. - Eliminate elementary extracurriculars (and associated late buses): the district says total extracurricular spending currently runs at a roughly $350,000 deficit relative to activity fees received. - Use one-time “shift dividend” and other one-time funds and foundation support: roughly $40,000 from the Evesham Education Foundation was cited as continuing to fund half of one position; use of other one-time sources was described but noted as creating future fiscal cliffs.

Dr. Smith emphasized the painful nature of many options: “There are no easy cuts anymore,” he said. The administration’s near-term package would close about $4.3 million of the gap; additional staffing reductions, program changes and possible facility leases were listed as potential further steps to reach the full target.

State funding background and advocacy

District staff reviewed the history behind the shortfall, including the 2008 School Funding Reform Act (SFRA) and the later S-2 law that restructured adjustment aid and phased reductions over several years. Assistant superintendent (presentation lead) explained that S-2 used a weighted five-year enrollment average and a local fair-share (wealth) calculation that reduced aid to districts such as Evesham during the phase-out, leaving the district with a substantially smaller state aid allocation despite only modest enrollment decline.

At the board meeting Dr. Smith and staff described advocacy efforts: attending the state’s public hearing on a new school-funding law, providing testimony to the state senate budget committee, and inviting parents and community members to organize with other districts. Staff described recurring state-level themes they heard at hearings: the need for a transparent, publicly replicable formula, recognition of special-education and transportation cost pressures, and a desire for at least single‑year clarity on aid amounts to enable local planning.

Public testimony and staff responses

More than a dozen residents and educators spoke during the meeting’s public-comment period about the presentation and specific program concerns. Several recurring points:

- Concern about middle-school schedule changes and the loss of team-time and independent-study periods that teachers and special-education staff described as essential for student support. - Requests for greater community engagement and earlier notice of proposed changes; several parents said they had asked to be included in stakeholder committees last year and felt excluded. - Questions about preschool expansion funding and facilities: parents asked whether capital renovation costs (to convert Teddy Bear Academy into the Marlton Preschool Center) were being charged to district capital reserves rather than the preschool grant; the district confirmed capital reserve funds are being used for restroom/entry renovations and said preschool expansion operating costs are budgeted in a separate fund but not capital items. - Calls to replace or augment current reading interventions with systematic phonics instruction from multiple parents and educators who described weaknesses in current tier‑1 and tier‑2 literacy approaches.

Union concerns and teacher testimony

Tracy Brown, vice president of the Evesham Teachers Association, described the presentations and proposed steps as “the most depressing thing I’ve sat through” and urged the board and administration to protect staff wherever possible. Middle-school teachers who spoke said independent study and team time provide critical individualized and collaborative time that they fear will be lost if schedules change.

Board actions taken during the meeting

During the Jan. 30 meeting the board approved a set of routine consent items and took several votes related to operations and personnel. The board also voted to enter executive session earlier in the evening under NJSA 10:4-12 and later approved a settlement discussed in executive session. (See Votes at a glance below for itemized outcomes and recorded roll-call stances.)

What happens next

The administration said it will continue working through personnel calculations (seniority lists, certifications and precise salary/benefit amounts) to produce refined savings estimates for the tentative budget submission to the county office by March 19. Several proposed steps require additional study, approvals or negotiations (for example, outsourcing transportation and any bus/yard leases), and staff warned that some revenue assumptions or one-time uses of funds create a fiscal cliff in future years if state aid does not change.

Board members and the superintendent invited parents and community volunteers to join advocacy efforts at the state level and to contact the district about participation in stakeholder work; staff also committed to further public budget updates in February and later budget hearings before tentative and final budget approvals.

Votes at a glance: Jan. 30, 2025 (board recorded outcomes)

- Motion to enter executive session under NJSA 10:4-12: moved by Mr. Brown, seconded by Mr. Thompson — Approved (roll call: Brown yes; Boutramowicz yes; DeMarcy yes; Fox yes; Thompson yes; Peelman yes; Bach yes; Compton yes). - Approval of minutes (agenda items 6.1–6.3): motion carried with noted abstentions recorded on the roll call (several members abstained on individual minute items; motion carried). - Administrative items (7.1–7.8): Approved (unanimous roll call recorded as yes). - Curriculum and instruction items (8.1–8.4): Approved (unanimous roll call recorded as yes). - Finance and operations (9.1–9.14): Approved with recorded no votes on specific items 9.11 and 9.12 by some board members; the remainder passed (see board roll call minutes for item-by-item votes and abstentions). - Personnel agenda (10.1–10.??): Approved as presented with recorded abstentions where noted on the roll call. - New business item 14.1 (settlement agreement discussed in executive session): Motion by Mr. Brown, seconded by Mr. Thompson — Approved (roll call recorded yes votes).

The board and administration will publish formal roll-call minutes with item-by-item vote records in the official minutes. The district said it will provide updates at future meetings and requested community patience while staff complete the detailed personnel calculations and negotiation analyses.

Ending

Superintendent Dr. Smith closed by reiterating the administration’s stated goal: “we are charting the least horrible path through a horrendous situation,” and asked the community to engage in advocacy and planning as the district finalizes its tentative budget in March.