A major focal point of the meeting was the revelation of a substantial $883,000 increase in health insurance costs, attributed to a 32% rise in premiums and the transition of staff to the state health insurance plan. This surge in expenses was compounded by an additional $538,000 due to salary increases exceeding the estimated 3% and adjustments along the salary guide. The board is set to approve these changes on December 15. One member expressed frustration over the timing of these increases, likening it to “the rules changing well after the game has already started,” underscoring the challenges of managing a budget amidst unforeseen cost escalations.

In tandem with these fiscal concerns, the board discussed the development of the 2026-27 budget. Administrators are tasked with submitting their departmental budgets by January 13. The board also delved into the plans for a new board office, with architects having submitted a request to the state for the purchase of a property on Newark Pompton Turnpike. Pending state approval and town council zoning and variance applications, the closing of the building is anticipated for January 2026. However, the sale of the current board office property has encountered complications, particularly with the post office’s request for a third appraisal, delaying the process.

Another issue was the financial audit presentation by Sevachia LLP, which highlighted a decrease in the general fund from $17.5 million to $15.77 million by June 30, 2025. This reduction was largely due to planned withdrawals from capital and maintenance reserves, among other factors. The auditors cautioned the board about its reliance on fund balance to support budgeted expenses, warning of potential challenges due to rising costs and inflation. They emphasized the importance of replenishing the fund balance, especially given the increasing health insurance rates and the need to manage contractual agreements.

The auditors also reported a $16,000 decrease in the food service fund’s net position, noting a deficit in unrestricted net position and an increased need for general fund contributions from $50,000 to $75,000. Despite these financial pressures, the auditors did not make any recommendations this year, commending the district for its operations.

In addition to financial discussions, the board recognized the achievements of various staff members, including those receiving tenure. Educators such as Tracy Battelli, Christine Dphano Perez, Jenny Jacobs, Colin McBride, Susan Blanchard, Michael Floric, and Barbara Frolic were acknowledged for their dedication and service. The celebration included a chant of “Panthers on three,” showing appreciation for the teachers’ contributions.

The meeting also covered updates on educational programs and initiatives. The board expressed enthusiasm for a possible new AI elective. There was also discussion about the New Jersey Student Learning Standards (NJSLS) revisions, with the board noting potential concerns about adopting multiple large-scale changes simultaneously.

Attention was given to the Sharetime Academy, with discussions about relocating the program to a new facility at the county college of Mars. This change means current juniors will remain in the program, but no new cohort will be sent to Pequannock. The board expressed disappointment over the decision, recognizing the program’s success and exploring possibilities for extending its offerings to neighboring districts.

Finally, the board considered staffing updates, including the recruitment of a qualified candidate for a pre-K program leave replacement and efforts to fill high school choir positions. They also discussed the Student Growth Objectives (SGO) and Professional Development Plans (PDP), noting that tenured staff and administrators with satisfactory scores from the previous year are not required to submit new SGOs.