The meeting featured a presentation by Gary Vincy from Lurch Vincy and Bliss, who reported on the annual audit for the fiscal year ending June 30, 2024. The audit disclosed a notable increase in the district’s reserves, rising from $2.2 million to nearly $3.4 million. However, it also uncovered budgetary miscalculations, including a revenue shortfall due to overestimated miscellaneous revenues and underfunded operating expenses. The district had budgeted $2.7 million in miscellaneous revenues but collected just $700,000. Moreover, expenditures in special education, transportation, and health insurance surpassed their respective budgets, resulting in an operating deficit of over $7 million. To address this, the district received $9 million in advanced state aid, alleviating cash flow issues but highlighting the need for improved budgeting practices.

In response to the audit findings, the board approved a corrective action plan, detailing 13 audit findings and the steps needed to address them. This plan, available on the district’s website, outlines responsibilities and timelines for implementation, with ongoing communication with auditors and the state monitor. A follow-up review is anticipated in January. The corrective action plan is a procedural necessity aimed at rectifying past financial missteps and ensuring future compliance.

An issue of contention arose concerning a dormant student account containing over $42,000, which had been transferred to a general account to fund repairs to the high school weight room. This transfer raised accountability concerns, with questions about whether proper documentation and approval were obtained. Board members acknowledged the lack of documentation and the potential implications if students or groups claimed the funds later. The topic of possible criminal activity surfaced, though no allegations were made.

Public comments reflected concern over these financial revelations. Carla Cario queried the implications of missing documentation and the transfer of the student activity account, while Nicholas Fry commented on the comprehensiveness of the corrective action plan compared to previous years. However, Fry’s inquiry about recurring issues from past audits revealed persistent compliance and documentation problems, particularly in purchasing.

Further compounding these financial challenges, the board discussed anticipated state aid cuts for the fiscal year 2025-2026, which could affect numerous districts across New Jersey. Board members expressed hope for flat state aid to reduce budgetary impacts and are seeking financial projections for January to ensure a balanced budget for the current school year. Learning from past budgeting experiences was emphasized to avoid previous pitfalls.

The board meeting also addressed school safety, sparked by a tragedy at Abundant Life Christian School in Wisconsin. Concerns about increased incidents of fighting in Nutley schools were raised by a parent, who questioned teacher safety and the protocols in place during such events. The board assured that security measures, including two security personnel in the high school, were in place, and a security manual outlines protocols for handling fights. Discussions on dress code enforcement and the presence of armed guards in schools also emerged, though specific security measures were not disclosed for safety reasons.

Adjustmentsttention was given to staffing challenges within the district, particularly the hiring of behaviorists and the resulting strain on existing personnel. It was noted that staff members are overextended, with data being collected to inform the upcoming budget. The administration is committed to addressing these challenges using comprehensive data sets, including those related to salaries, healthcare, discipline, and bullying. A program named “hipster” was mentioned as a tool to track and disaggregate data.

In personnel matters, the departure of board member Joseph Battaglia was notably discussed, with members expressing gratitude for his service and leadership during a financial crisis the district faced. Battaglia’s contributions were acknowledged as instrumental in identifying and navigating the complexities of the crisis, and his absence was described as a significant loss for the board and community. Board members reflected on Battaglia’s impact, with one member expressing hope for his continued involvement in the community.