Regional rate will rise 2.1 cents in Lower, 1.9 cents in Cape May
ERMA — The regional school tax will rise in Cape May and Lower Township and decrease in West Cape May under the 2025-26 spending plan, which cuts four positions via attrition.
The Lower Cape May Regional School District adopted its $35,394,658 budget April 30. The overall spending plan is down $3.3 million from the current year, which the district attributed to a $700,000 loss of aid and the use of capital reserve, maintenance reserve and prior year encumbrances for capital improvements.
Meanwhile, the tax levy, or amount to be collected to support the budget, is up nearly $1 million, or 4 percent, to $25,461,484.
While enrollment has fallen from a high of 1,328 students in 2019-20, it is expected to remain flat at 1,147. For regional school districts, the state calculates the share a municipality contributes based on property values and resident enrollment.
This year, Lower Township taxpayers will provide 60.78 percent, Cape May taxpayers 32.54 percent and West Cape May property owners 6.68 percent.
That will result in an increase in the tax rate of 2.1 cents per $100 of assessed value to 42.8 cents in Lower Township and 1.9 cents to 28.5 cents in Cape May, as well as a decrease of 3.8 cents to 32.8 cents in West Cape May.
In dollars, Lower Township’s bill will increase $21 to $428 for every $100,000 of value. The owner of a home assessed at $250,000 would see an increase of $53 to $1,070.
Cape May taxpayers will see an increase of $19 to $285 for every $100,000. The owner of a home assessed at $400,000 will pay $1,140 in regional school taxes.
Homeowners in West Cape May will see their bill drop by $38 to $328 on each $100,000, or $1,312 for a $400,000 home. According to a presentation by Business Administrator Mark Mallett, instruction costs are down 2.7 percent through the loss of four staff members who will not be replaced.
Tuition is up 15 percent, partially due to an increase in out-of-district placements, which also result in greater transportation costs.
The district reduced is facilities and maintenance spending by 8.7 percent but transportation costs are up 10.7 percent.
Health benefit costs continue to rise, and the district has budgeted an increase of 11.7 percent to $6.227 million.
Federal, state and local grants are down about $700,000, or 40.9 percent, to just over $1 million.
Overall state aid increased by $313,940, primarily due to Choice and Special Education aid, which rose by $324,364 and $690,586, respectively, while Transportation, Equalization and Security aid fell by a total of $546,215.
Capital expenditures are down 75.5 percent, from $4.2 million to $1.033 million as the district has retired some debt.
Since 2019, the district has used $14.1 million in capital reserve and a $13.9 million bond to maintain and upgrade the school’s facilities. The projects included:
— 2019: Renovated four bathrooms at Lower Cape May Regional High School and four at Richard Teitelman School, replaced theater lights with LED lighting
— 2020: Renovated four bathrooms at Teitelman, replaced HVAC units in the high school and Teitelman cafeterias
— 2021: Replaced high school theater lighting, replaced track and improved drainage, replaced auxiliary gym floor at Teitelman and bleachers in both gyms, modernized the elevator and upgraded the fire system at Teitelman
— 2022: Connected to Lower Township Municipal Utilities Authority for water supply instead of using well, replaced HVAC at high school and Teitelman and the roof at Teitelman
— 2023: Replaced theater stage floor, upgraded surveillance cameras and purchased computers for E-sports.
— 2024: Resurfaced high school roof, replaced football and baseball field lights and scoreboards, replaced corridor lockers at Teitelman, replaced high school generator, high school cafeteria refrigerator and freezers, gym bleachers and damaged doors
By CRAIG D. SCHENCK/Cape May Star and Wave
