Board hears bond-counsel briefing on possible referendum to fund HVAC work; timing makes September unlikely

Bond counsel Tony Salmini briefed the Marlboro Township Board of Education on financing options for remaining HVAC projects at Asher and Robertsville elementary schools, explaining how a local bond referendum could make the district eligible for state debt-service aid that would reduce net local cost.

Why it matters: the board and administration are weighing whether to seek voter approval to borrow for remaining HVAC work. If approved and awarded, the state can cover a portion of debt service (theoretical maximum 40%, but practice in recent years has averaged about 34%), which could lower the district's local share compared with paying directly from capital reserves.

What bond counsel said: Salmini explained that if the district borrows and the project is approved for state aid, the state would pay a portion of the debt service and the district's capital reserve could be used to pay the remainder when the debt becomes due. He noted the Department of Education can take up to five months to review a project application and that the county must receive referendum language at prescribed intervals (e.g., 74 days before the November general election). Given the review timeline, trustees observed that aiming for a September special-election date would be "very difficult," and a November or later special date is more likely.

Board's options and cost example: Counsel gave a worked example: for a $3 million project, approximately $1 million (roughly one-third) could be reimbursed by the state under current practice, leaving about $2 million for the district to fund (for example, from capital reserves). Professional costs (architect, issuance, marketing) would be eligible for the same reimbursement proportion if the referendum succeeds; if the referendum fails, the district would bear those costs.

Timing and next steps: trustees discussed authorizing the architect to prepare project applications and agreed the next concrete step is to adopt a resolution to that effect. The board president said he would place a resolution on a near-future agenda to authorize the architect to submit applications; no final vote on a referendum question occurred at the meeting. Board members stressed the need for a coordinated outreach and education campaign if the district pursues a referendum.

Taper: Trustees emphasized a preference to pursue available aid while noting the practical timeline constraints and cost of marketing or professional services. The board will consider a formal resolution for architect authorization at the next meeting and review the DOE response timing before scheduling a voter question.