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Schools February 15, 2007
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Uncertainty in Trenton clouds budget process
Unfunded federal mandates are also posing problems for schools
BY CHRIS GAETANO
Staff Writer

SOUTH BRUNSWICK - The school district now faces the onerous task of crafting a budget amid state-level changes to the property tax system, though according to district officials, they're not going to let that stop them.

During the Board of Education's Monday meeting, board member Barry Nathanson said that uncertainty over what exactly will happen in Trenton over certain property tax reforms has, in turn, made some in the district uncertain when putting together the budget for this year. Nathanson was especially critical of the imposition of a 4 percent property tax growth cap without the addition of a new formula for district funding.

"The governor just threw up his hands and said, 'Oops, we won't have a funding formula now,' so we have no clue, going into the budget hearings and budget committee meetings, what we're going to see for this coming year, and that's concerning to me," said Nathanson.

Board member Harry Delgado, who reported on the Budget Committee's first round of hearings, also expressed how much things were contingent on what will come out of Trenton in the immediate future.

"A lot of it is predicated on the governor's speech ... It certainly will have an impact on the budget as well as throughout the entire state," said Delgado.

According to district Business Administrator Anthony Tonzini, the work on the budget is still proceeding despite some murkiness as to what the future holds regarding property taxes, the primary funding source for schools in New Jersey. He noted that as legislation has come in fits and spurts, the schools have been able to incorporate new elements into the budget as they appear. He did note that there are still a large number of unknowns that cannot be reacted to until a clearer picture emerges from Trenton.

"We don't know all the pieces," said Tonzini.

At the moment, the schools are trying to devise a plan to deal with new developments, especially on various growth caps that may be imposed on them.

"We won't know the final effect," said Tonzini.

This comes amid a decrease in federal funding for the district. According to Tonzini, South Brunswick received less funding this year for federal mandates such as the Individuals with Disabilities Education Act (IDEA) and No Child Left Behind.

"They're supposed to fund them, but the federal government funded below what they authorized. Instead of getting an increase in funding this year, we got less," said Tonzini.

IDEA funding had a shortfall of $973,000; Title I, which funds a basic skills program, had a shortfall that totaled $210,000; and the shortfall for No Child Left Behind came out to $97,932. According to Tonzini, these shortfalls have been affecting what the district can do for this current school year, but if the trends continue, then next year there would be even less. Members of the board have met with U.S. Sens. Robert Menedez and Frank Lautenberg as well as Rep. Rush Holt to discuss the problem, though the ultimate results of these talks remain to be seen.