BOE Accepts Cuts, Criticizes Council

Choosing not to appeal budget cuts imposed by the Borough Council, the Board of Education voted last night to accept a $1.25 million budget reduction.
The Board failed to consider the Council's remaining recommendations, namely, that it cut another $725,000 to bring back teachers and programs. "They had no right to make those recommendations," said Jim Giannakis, the board president, when questioned about whether these recommendations would be discussed.

The Board's decision not to appeal the Council's cuts means taxpayers will see a $15 tax cut this year instead of a $100 increase.

Despite the vote, several members of the public, as well as board members, criticized the Council's decision to rely upon $375,000 in savings from a new law requiring teachers to pay 1.5% of their salaries toward healthcare benefits.

"The NJEA is challenging [that law]," said Louise Mruz, president of the teachers' union. Mruz said the board should not be relying upon the money from the new law, but Business Administrator Richard Guarini said the state has a procedure in place requiring boards to begin deductions this month for new employees and in July for current employees.

Board members also questioned the council's suggestion to use savings from switching health plans to reduce taxes. While the move will save $250,000, one board member said he wasn't certain whether the teacher's union would be happy with the new plan, which does not include Somerset Medical Center as a provider.

In addition to criticizing the cuts, board members also criticized the council's motivation for them, with Vice President Pio Pennisi calling the council's actions "political." "It's all about November," he said.

In a show of unity, though, Mayor Charles Butrico, a Democrat, and Councilman Rob Bengivenga, a Republican, approached the microphone together to question the board about its fiscal accountability. Butrico and Bengivenga wanted to know why the board proposed awarding a custodial contract to the highest bidder rather than the lowest.

"You could save $200,000," said Butrico, who asked the board to look closer at its ability stick with the lowest bidder. "You have excellent attorneys. I'm sure you can find a way."

Board members responded by saying they had little choice but to eliminate the top three bidders based on legal technicalities. Later in the meeting, with little comment, they voted to accept the highest of the four bidders, Sodexo, Inc. Sodexo currently provides custodial services to the board, and as pointed out by Bengivenga, also employs Giannakis, the board president.

Later, Butrico criticized the board for not discussing its options regarding the contract and how it could save money: "I thought you would have at least discussed it."

While public comment came mostly from teachers and staff, Kevin Hughes, a parent whose child will enter the high school next year, asked the board to put its difficulties with the council's recommendations aside, do what's best for the children, and work to reinstate programs, including freshman sports. Hughes urged the board to reinstate the program, as well as others that were cut.

Athletic Director Mike Buggey agreed, calling upon the board to reinstate staff and programs during what he called "the emergency we are in right now." In doing so, he urged the board to use its emergency funds to offset losses in state aid.

Resident Derryck White echoed this, repeatedly asking the board to disclose the amounts in its reserve accounts and then use those funds to reinstate cuts, as suggested by the council.