Lawrence Township board says rising health and prescription costs are main budget driver; preschool expansion offsets some expenses

The Lawrence Township Public School District held a budget hearing May 13 in which administrators told the board that rising employee benefits—chiefly medical and prescription costs—are the principal driver of the proposed general-fund increase.

Superintendent (presenter) praised staff and outlined district initiatives before turning the detailed budget presentation over to Tom Eldridge. Eldridge said the district presents both program and object views of the budget so the public can see what services are supported and how dollars are spent. "The driver though, above all, bar none, is this number. It's employee benefits," Eldridge said, adding that "our composite number for the increase there is roughly 19%."

The administrators said prescription-cost growth has been the leading component of benefits increases in recent years and that the district participates in a joint insurance fund for medical and prescription coverage while dental is self-insured. They also noted that salaries and benefits together typically make up roughly 70–80% of the budget.

District leaders emphasized that preschool expansion is lowering the appearance of administrative growth in the general fund because some administration and support costs are being transferred into the preschool program. Eldridge said that preschool expansion is "helping us to the tune of over $800,000," a factor that offsets some general-fund pressure.

On revenue, presenters pointed to an increase in state aid and noted transportation costs as a driver in the revenue picture. The administration said interest on construction-related borrowings for the middle school campus has created some income that the district will use where appropriate. Officials said the advertised budget (the state DOE template adapted for public presentation) is posted online and that a more user-friendly version will appear after the meeting.

Eldridge described the procedural next steps: the district will submit the budget to the Mercer County Department of Education and make minor account-number changes within the preschool expansion lines, with no change to the overall total; the presenters said the only material dollar difference would be about $13,000 moved from supplies to social worker salary. The board is scheduled to take final budget-related votes at upcoming meetings and will approve the tax request to the township on May 20.

The board took no final appropriations action at the hearing itself; administrators framed the session as an opportunity for questions and public input. "If it's in-depth, I'll defer that," Eldridge said when asked whether he could answer more detailed questions immediately. Several trustees asked clarifying questions about benefits and insurance structure during the presentation.

The district posted supporting schedules and the PowerPoint used in the presentation on its website, and officials encouraged the public to review those documents online or bring questions to the May 20 meeting, when the board will complete its procedural approvals.