Metuchen Board adopts $54.3 million 2025–26 budget; tax levy rise limited to 2.7%

The Metuchen Board of Education approved a $54.3 million budget for the 2025–26 school year at its April 29 final public hearing, adopting the plan by roll-call vote after a presentation from district administrators.

Superintendent Dr. Vincent Caputo and a finance presenter, identified in the meeting as Mr. Harvey, presented the figures and said the approved plan does not raise the district's tax levy beyond previously signaled limits. "There is no impact to the tax levy, to the tax increase. That's simply a transfer from our reserve account into Fund 30," Mr. Harvey told the board during the presentation.

The approved appropriations total $54,300,000, with roughly $39,000,000 going to salaries and health insurance. Revenue sources the presentation listed include a local tax levy of about $40.55 million and state aid of $3.3 million (broken down in the presentation as roughly $2.7 million general state aid, $360,000 special-education aid, $360,000 transportation aid and $300,000 categorical security aid). The district budget also includes a budgeted fund balance of $2.6 million and miscellaneous revenues such as tuition and facility rentals.

The board and administration told the public the budget includes a transfer of $1.5 million from capital reserve into Fund 30 "to supplement the referendum funds for potential unforeseen conditions" related to ongoing construction work tied to the 2019 referendum. The presentation noted that transfer is an accounting move intended to fund capital work and that the reported tax-rate impact reflects those moves; the administration emphasized that voters previously approved the referendum and that the transfer supplements those referendum funds.

Board members and administrators highlighted items funded by the budget, including technology infrastructure, safety and security upgrades, curriculum work, the Lifelines suicide-prevention program, building maintenance, and transportation. The presentation also noted a district technology plan that includes one-to-one devices for rising third- and ninth-grade students in 2025–26 and continued investment in network infrastructure and building systems.

During the hearing the board stated the tax rate is 4.53 per $100 of assessed value; the presentation showed a median homeowner example where annual school taxes rose about $259 — a 2.7% increase compared with 2024–25. Administrators emphasized long-term efforts to find efficiencies, such as cooperative natural-gas purchasing and an energy-management grant the district plans to use to reduce utility costs.

Votes at the meeting: the board voted unanimously among members present to adopt the 2025–26 budget. The finance summary and supporting documents were posted and available on the district website, and board members said a detailed line-item budget and tax-levy analysis were part of the meeting packet.

The board chair closed the public hearing after no members of the public spoke during the allotted comment period and moved to final adoption by roll call.

Ending: The district will post the adopted budget materials on the board website; administrators said they will return with required follow-up reports and continue to report on referendum projects tied to capital spending. The finance committee and administration will continue to monitor energy and transportation costs and pursue identified savings.