Budget Basics
This is information about annual school district budgets and the budgeting process. For specific information on the Denville Township K-8 2008-2009 annual budget, please click here.
For those who want to learn (or review) the basic facts about the budget process, here is an overview.
An Annual Budget:
Denville Township Board of Education develops a budget each year for the township’s K-8 schools:
- Lakeview Elementary School
- Riverview Elementary School
- Valleyview Middle School
The County and the State Department of Education (DOE) also have varying levels of input on the budget
Denville Township residents vote whether or not to accept this budget every April
- This year’s vote is on Tuesday, April 15
DOE Input:
The State of New Jersey DOE regulates the budget process for public schools
The state has shifted more of the financial burden to local communities
- For example, employee pensions, insurance, etc
At the same time, the State has imposed a 4% cap on annual increases in budgets
- Result: a serious constraint on keeping our schools competitive
State Waivers:
Local communities can ask the State to grant “waivers” for costs that are increasing at more than 4% annually
The State decides whether or not to grant waivers
- It is increasingly difficult to get waivers approved
- For approval, school boards usually must demonstrate:
- Compliance with State regulations
- Operational efficiency
Waivers (even for the same items) must be requested annually
If A Budget Fails:
As a courtesy, the BOE provides the Town Council with a detailed presentation of the budget before the April vote.
If a budget fails, it is sent to the Town Council
The Town Council decides if and how much to cut the budget and recommends where to make reductions
The BOE then votes on whether to accept the revised budget amount or to appeal to the State to overturn the Town Council's cuts
- However, the State rarely grants these appeals
- The BOE must cut the budget by the indicated dollar amount
- The BOE has complete discretion on following the Council recommendations over which programs to cut
- A Town Council may decide to cut the budget by $500K in the areas of teaching positions, new books, and computers
- The Board must cut $500K but can decide to cut items with less negative impact on the students
- Once programs are cut from the budget, they are virtually impossible to reinstate
Referendum:
A referendum is a direct vote where the community is asked to either accept or reject a particular proposal
There will be a vote on the middle school referendum in September
Second Question:
While this year’s budget does not include a second question, you may want to learn a little more about the process.
A second question can be put on the ballot if the BOE determines that the budget needs to increase by more than 4%
The second question must define the increase in terms of specific budget items and their costs
- For example, hiring teachers or providing courtesy busing
A second question needs to pass with a “super majority,” at least 60% of the vote
- The annual budget needs to pass by a simple majority vote
If a second question is not approved, the district cannot implement the specified programs until the following year
- Even if the Board finds alternative financing, they could not use that money for items from the second question
The April 15, 2008 vote is for the annual budget.
Please vote YES!