Borough advances the district up to $5 million to make it through the school year

What happened

Facing a separate, $4.6 million year-end cash shortfall for FY2026, the district asked the Borough for emergency help. The Borough Assembly authorized up to $5 million in supplemental funding in May 2026; the district ended up drawing $3 million of it to close out the year. That $3 million is now being deducted from the district's FY2027 local funding in quarterly installments, on top of the separate $5.4 million debt-repayment plan.

Why it matters to families

This is money the district will not have for FY2027 classrooms and staff, arriving the same year enrollment-driven school closures and a reduction in force were already underway; district staff estimate its unanticipated net effect on next year's budget at around $225,000 after accounting for cuts already planned.

The evidence

The May 7, 2026 emergency board work-session statement puts the projected FY2026 shortfall at $4.6 million. A July 9, 2026 Borough Assembly information update, shared with the board in a July 22, 2026 agenda item, confirms the Assembly authorized up to $5,000,000 under Ordinance 2115-Amended, that the district drew $3,000,000 (60% of the authorization), and that the amount is being recouped from the district's FY2027 local discretionary contribution in four quarterly installments.

The source