Board adopts tentative budget, hears capital project updates; $89 million bond issuance planned

The Princeton Board of Education approved a tentative fiscal plan and several capital project steps at its public meeting, and district staff outlined expected tax impacts, a near‑term bond issuance and next steps for referendum projects.

Budget and levy: Matt Bolden, the district’s finance/operations presenter at the meeting, said the tentative budget was due to the state the next day and that the district would finalize the budget at a later hearing. He described the proposed calendar‑year school tax levy increase as an estimated 4.7% on the school side and said the district’s proposed operating tax levy increase for the fiscal year is 2.91%. Bolden told the board the taxpayer impact for the average property would be about $433 (a district estimate displayed in slides).

State aid and revenue context: Bolden said state aid was cut under the current formula (a roughly 3% decrease for the district) and that local revenues (tax levy, university contributions and local tuition) make up the large majority of district revenue; the district reported that roughly 93% of its revenues are local. He also said the district expects to issue $89,000,000 in bonds in the near term to finance referendum projects.

Cost drivers and pressures: The presentation identified rising special‑services and transportation costs and increased health‑care costs (noting specialty Rx trends) as primary budget pressures; the district indicated it was using a zero‑based budgeting approach and that it had increased fund balances and capital reserves in recent years. Bolden said federal IDEA funding and Title grants total “a little over a million dollars” and cannot be used to replace regular operating support.

Capital projects and referendums: The board approved a number of consent‑agenda items tied to referendum implementation and facility work, including contracts for planning rooftop replacements, approval to proceed with PHS bleacher replacement this summer, and steps to procure electric buses and charging equipment. The board tabled one contract award — a site‑improvement bid for the PHS basin and tennis courts — for later consideration. Committee updates noted upcoming construction schedules and that the bleachers are slated to be completed this summer; the district said it would issue the referendum debt in the coming week.

Board discussion: Several board members asked questions about long‑term fiscal sustainability and the potential need to reallocate resources; one board member asked whether staff reductions were being considered (administration answered it was not planning staff cuts and would repurpose positions if retirements created opportunities). Members also discussed the lifecycle and relocation costs of charging stations if district facilities locations change in the future.

Votes and outcomes: The consent agenda (which included the tentative budget submission and many of the project contract approvals) passed by roll call. Specific project votes noted in the public meeting included: tabling the PHS basin and tennis court site improvement bid; approval of the PHS bleachers purchase and several professional service contracts related to referendum projects; and a motion to accept grant applications and purchase orders for electric‑bus chargers and related equipment (committee discussion indicated grant funding is expected but not finalized).

Why it matters: The budget and capital decisions will affect district operations, tax bills and the schedule of facility work. The board’s decisions on contract awards and the bond issuance set the timeline for the referendum projects the public approved earlier.

Provenance: The budget and capital details were presented in the meeting’s finance/operations section; votes were taken on the consent agenda and on several specific procurement items.