'Concerning' Budget Cycle Could Mean Cuts For Wayne Schools, Officials Say

WAYNE, NJ — After voters defeated a $170 million bond proposal, the Wayne Township school board is looking at a district budget for next year that includes a 2.48 percent tax levy increase.

Board members approved a preliminary spending plan of $190.8 million for the 2024-25 school year, which residents can comment on at the board’s May 2 meeting. Officials said that they do not have a lot of "wiggle room" and there may be cuts coming to some programs to make ends meet.

"This budget is concerning," Board President Don Pavlak said. "And we have no choice in a lot of places."

For example, renovations to the next-generation science labs at both high schools would be put on pause while the district re-directs those funds to more pressing needs.

School officials said they needed to account for increasing staff salaries and benefits for the 2024-25 fiscal year budget, as well as support for special education students and related student transportation costs.

William Moffitt, the school business administrator, said there is a projected $9.4 million increase for employee benefits and wages. He attributed part of the increase to an ongoing teacher shortage, and said Wayne has had to find long-term subs and other qualified candidates to replace retiring teachers.

The estimated tax impact for a home assessed at the average value ($230,435, a slight increase) would be $204 per year.

However, Moffit added that since the debt service for Anthony Wayne Middle School is set to be paid off by next year – which is an average of $116, meaning the tax increase would feel more like $88 next year. This tax increase would add over $4 million in revenue, he said.

“We’re still discussing strategies to find savings,” Moffit told board members. "If there's areas of savings to find and modify our budget, we can do that."

The district will still be in an overall positive financial position through June 30, Moffit said, even after withdrawing money from the Capital Reserve Fund for renovations at the Preakness School and some other maintenance projects.

Voters shut down a referendum in March that would have helped fund 63 projects across all 15 buildings.

Moffitt also said the district is looking at a new, smaller referendum asking to issue $100 million in bonds, which would represent an increase of $217 a year.

The timeline for a new referendum is estimated to take 12-13 months.

View the preliminary district budget presentation here.