School Board Votes On 14.24% Tax Increase In Lacey

LACEY, NJ — The Lacey Township Board of Education shot down the chance for a one-time tax levy increase of 14.24 percent aimed at closing the district's $6 million budget gap at a special meeting this week.

The board held the meeting because the county superintendent rejected their previous budget submission, according to Acting Superintendent William Zylinski. Specifically, language in the budget proposal about selling land was rejected, Zylinski said. So, the district amended the budget, and held the meeting to vote on adopting the amended budget.

In the amended budget was the approval to apply for a new tax incentive aid program.

This year, the state is offering a Tax Levy Incentive Aid program, where qualifying districts can apply to exceed the 2 percent property tax levy in their budget. Lacey qualifies as its spending is under adequacy — meaning the district is not spending what the state says they should be to provide a thorough and efficient education as mandated by the New Jersey Constitution — and its property tax levy is below the local fair share.

The reason the district considered such a drastic option is because the county superintendent advised, officials said.

If approved by the school board, the tax levy would have been raised 14.24 percent. That would be on top of last year's one-time 9.9 percent tax levy increase.

It also means that the average homeowner with a house assessed at $288,906 would pay an extra $907 annually.

However, the board voted to reject the amended budget in a 6-1 vote, with only Board President Kim Klaus voting yes. Members of the board emphasized that they could not support such a serious tax increase. They unilaterally blamed the district's financial crisis on the state.

"We have no confidence or trust in our governor and his lack of leadership," Klaus said. But she said she voted yes because she saw no other options.

Other members said the district should explore taking on a loan or any other options that aren't raising taxes.

"The truth is, a loan can be repaid, even if it's with interest," said Board Member Cheryl Armato. "But a 14.2 percent tax sticks. It becomes our new baseline, setting up more increases year after year after year."

The budget must now be amended again. A public hearing and final vote is set for May 7.