Get AI Briefings, Transcripts & Alerts on Local & National Government Meetings — Forever.
East Rutherford board previews 2026–27 budget citing steep insurance increases and use of health waiver
Loading...
Summary
The East Rutherford Board of Education reviewed its preliminary 2026–27 budget, citing large projected insurance premium increases, proposed use of health waiver funds and withdrawals from reserve accounts to hold the levy to 3.99%. The board set an April 30 public hearing on the proposal.
The East Rutherford Board of Education reviewed a preliminary 2026–27 budget on March 30 that administrators said is being pushed by rising insurance and contract costs and would use one-time funds to limit the local tax impact.
Roger Kritz, the district’s school business administrator, told the board the district budget includes a projected 25% increase in insurance premiums for next year and other drivers such as salary increases, higher utilities and transportation costs. “For next year, I budgeted 25%,” Kritz said during the presentation.
Kritz outlined steps the district proposes to balance the budget while keeping the proposed tax levy at 3.99 for next year: drawing on the district’s available health waiver pool (he said the district has a little over $792,000 available and is proposing to use $381,685 of that amount), withdrawing $150,000 from the maintenance reserve for planned Lincoln School projects, and using roughly $840,000 from capital reserves to fund two capital projects. He said about 40% of the McKenzie roof replacement (Marshall roof project) will be reimbursed, but that reimbursement would be received in the following year.
Interim Superintendent (name not provided in the record) described the process as difficult and said the version presented is preliminary; a public hearing on the budget is scheduled for April 30. The superintendent also said there are “some staff reductions” and administrative adjustments being considered, and committed to notifying any staff affected by April 8.
Kritz characterized potential savings options being explored, including shared services for transportation and personnel and delaying purchases where possible; he noted the district is saving by extending existing school bus service rather than purchasing new buses following a state law change on useful life. He also said technology insurance and device coverage are significant costs, with Chromebook insurance and staff device coverage highlighted among budget pressures.
The finance committee moved the fiscal motions (F1–F14) forward for board consideration, and Kritz said capital projects for summer work—the McKenzie roof replacement and the Faust exterior door replacement—are on the agenda for award. Correspondence about F14 (Faust doors) noted bid challenges and material deficiencies in the first two bidders, with recommendation to award to the third bidder.
The board will hold a public budget hearing on April 30, at which the preliminary budget and any comments or suggested changes may be discussed and the board may vote on final action at subsequent meetings.
