Lacey Township projects more than $5 million shortfall, cites 29% rise in health‑insurance costs

The Lacey Township School District told the board on Feb. 19 that it is projecting a budget deficit exceeding $5,000,000 for the coming year, primarily because of a significant increase in health‑insurance costs.

During opening remarks, a board official said the district "is currently projecting a deficit of over $5,000,000," and identified the primary driver as a projected $3,500,000 increase in health insurance costs, a rise described at the meeting as about 29 percent. Board members said they have been holding calls with state officials and legislative staff to discuss flat state aid, insurance mandates and levy restraints.

The district said it expects more detailed state funding figures in mid‑March and urged residents to monitor the district website for dates of budget workshops. Officials noted that, with flat state aid, the board will consider budget adjustments and efficiency options related to busing, administration and operations during the workshop process.

In committee reports, finance members described additional budget planning steps, including issuing an RFP for auditing services, evaluating a solar‑array RFP and reviewing financing timelines for a previously approved bond referendum. The finance committee also reported plans to open new bank accounts to separate district funds and discussed payroll and vendor payment processes intended to improve transparency.

No final budget adoption occurred at the meeting; the board approved routine agenda items and personnel actions while continuing the budget work. Officials said the district will announce workshop dates and expects the governor's funding update to inform the final plan.