If voters approve the referendum, the Board is only allowed to spend money on the projects outlined in each question, within the dollar amount listed on the ballot.  

The conservative cost estimates include contingencies, which take into account a realistic level of possible market changes in materials/labor costs, escalation over the construction period and unforeseen conditions. If actual costs exceed what voters approved, plans will have to be adjusted to fit the budget.  

As a public school district, Lacey Township School District must use a competitive bidding process that ensures taxpayers get the lowest contracted price for the work. The district’s architects will only prepare final design and bid specifications for the projects if voters approve the referendum.

The Department of Education program that provides debt service aid has been around since 2000. This program has been the state’s primary mechanism to support school funding for facilities improvements, while districts preserve the annual budget for daily operations directly related to education. Districts across the state have seized this opportunity for funding (here is some data to show how many). 

This funding comes from a different source, and is calculated with a different formula, than the S2 funding for annual budgets that the district has lost over the past seven years. 

Another assurance to the taxpayers is the district’s Final Eligible Cost (FEC) letters that affirm the amount of debt service aid toward the projects. As part of the referendum process, the district submitted project applications for the proposed work. These applications were reviewed and approved, with the promise that, if voters approve, the state will pay the specified amount to the district annually to offset the taxpayers’ share of the investment. Lacey Township Schools have been receiving annual debt service aid for years toward projects from a previously approved referendum.

If voters reject all three ballot questions, school debt taxes for the owner of a home assessed at the Lacey Township average of $287,011 would decrease by $110 on the annual tax bill, which equals about $9 per month. However, if repairs that were not addressed through the bond proposal are instead funded through the annual budget*, taxpayers would absorb the full cost of the improvements without the state aid contribution that comes with an approved referendum.  

*The district’s annual budget currently gets 82% of its funding from tax dollars. 

The owner of Lacey Township’s average assessed home pays $7,273 in taxes, which is less than the Ocean County average of $7,593. Property taxes include county, school and municipal taxes. Lacey Township is ranked 13th out of 33 Ocean County municipalities in average taxes paid. (Source) 

Although Lacey’s tax rate is on the higher side, that doesn’t necessarily translate to higher tax bills. Regardless of tax rate, different factors like assessments and total tax base impact the actual amount of taxes paid. FOR EXAMPLE, Mantoloking residents have the lowest tax rate in the county but have the highest tax bills. (Source) 

No, the referendum funding is only permitted to finance capital projects. Boards of education are permitted to present additional spending proposals to supplement a district’s general fund budget for certain items like adding new educational programs that may require additional staffing.

• Lacey Township School District ranks 10th out of 28 Ocean County districts for lowest per-pupil spending. (Source)
  
  

• The district has maximized the use of grants and other cost-saving programs offered to schools both locally and through the state. These funding sources have allowed the district to complete projects outside the budget, saving taxpayers money.
  
  

• A bond referendum offsets the amount to be repaid with the help of state aid. Timing this new investment with the expiration of old debt allows the first question to stay tax neutral (no tax increase) and keeps the tax rate steady.
  
  

• Although Lacey’s tax rate is on the higher side, that doesn’t necessarily translate to higher tax bills. Regardless of tax rate, different factors like assessments and total tax base impact the actual amount of taxes paid. FOR EXAMPLE, Mantoloking residents have the lowest tax rate in the county but have the highest tax bills. (Source)
  
  

• The owner of Lacey Township’s average assessed home pays $7,273 in taxes, which is less than the Ocean County average, including county, school and municipal taxes, of $7,593. Lacey Township is ranked 11th out of 33 Ocean County municipalities in average taxes paid. (Source)

Soft costs are the expenses involved in a construction project, such as the permit, legal and professional fees, and other incidentals associated with the referendum planning and construction process. The state requires that soft costs are factored into a bond referendum proposal to cover both expected and unexpected expenses.  

A construction contingency, which accounts for fluctuations in market prices, also is part of the soft costs. 

The soft costs included in the Lacey Township proposal are in line with other capital projects and have been approved by the state Department of Education.  

Regardless of the amount of the soft costs, school districts cannot spend more on the projects than voters authorize and can't use the funds for projects that weren't in the proposal. 

If referendum project costs are lower than estimates, the unused funds will be used to pay down the bond.

The district’s architectural firm, FVHD Architects-Planners, has extensive experience in school construction and has been working on school-improvement projects since the 1950s. Using their knowledge of current market pricing, the architects estimate the costs of the projects outlined in the referendum, including a 25% soft cost cushion, which is in line with industry standards.  

The soft costs for the referendum include permit fees, regulatory agency fees, bonding fees, construction manager fees, legal fees, testing fees (as needed), professional fees (architect, bond counsel, financial advisor), printing and reproduction costs, and contingency costs for potential increases in market pricing. 

The ballot questions act as a promise to the taxpayers that the district may not spend more than the amount listed in each question and may not complete projects outside the scope of work outlined in each ballot question.

While every loan comes with interest, the interest rate is much lower than a mortgage or car loan (4.5% is the conservative rate used for the estimated tax impact).

Interest has been included in the tax impact calculations – these estimates include the interest, soft costs, and debt service aid plus the estimated project costs.

The debt service aid from the state goes toward the principal and interest, not just toward the project costs.

This is a 20-year, tax-exempt school bond – interest is spread across this entire period, among all taxpayers. 

The bond can be refinanced in the future if rates improve.

Soft costs are expenses that are indirectly related to materials, labor, or the physical building of a project.  

ALL of these soft costs are INCLUDED in the estimated tax impact, along with interest, project costs, and debt service aid. By law, the district is not permitted to spend more than what is approved by voters.   

The soft costs for the referendum include permit fees, regulatory agency fees, bonding fees, construction manager fees, legal fees, testing fees (as needed), professional fees (architect, bond counsel, financial advisor), printing and reproduction costs, and contingency costs. 

Construction costs and soft costs are not finalized until after documents are prepared for bidding and bids are awarded, which would not take place unless the referendum is approved.

A bond referendum is simply a vote. New Jersey public school districts are required to ask permission from local voters to sell bonds to borrow money. Funds from a bond referendum are used to finance infrastructure projects and large-scale maintenance. This allows the district to spread the payments over time, similar to how a homeowner uses a home equity loan to pay for an improvement. Importantly, these kinds of projects qualify for a specific kind of state aid that is only available to districts with voter-approved bonds. 

The district’s operating budget does the important job of funding day-to-day expenses such as salaries, benefits, maintenance and supplies. Bond funding, however, brings an advantage that the operating budget does not have. That advantage is state aid to cover as much as one third the costs of important projects. Without that, the operating budget, funded mostly by local taxes, would cover 100% of the costs. The school district’s annual budget has taken a significant hit over the past seven years and lost a total of $14.2 million in state funding. A bond referendum is one way the Board of Education looks for funding outside the local tax base. 

For more ways the district looks for funding outside the budget, check the Funding Strategy page.

Some of the projects can’t wait -- they must be done whether voters approve the bond proposal or not. Approval gives the district the added benefit of using state aid to help cover a portion of the project costs. The district’s operating budget does not have enough wiggle room to cover the bare necessities plus those improvements at the pace that our high-achieving district will need them, especially considering the recent state funding cuts.   

Here’s what to expect if voters don’t approve the referendum:   

• No state debt service aid toward these projects; taxpayers pay in full 

• Projects would be done in stages over many years, with total project costs coming from the annual budget (funded fully by taxpayer dollars) as funds are available   

• Piecemeal repairs which could cause higher costs in the long run   

• Funds could be diverted away from educational programs and/or staffing to support critical facility needs   

• Leaky roofing and aging HVAC systems remain

These are the top priority projects that will protect our schools; that include roofing at every building and key HVAC replacements at the high school and middle school.  

The Board selected the projects in Question 1 because they qualify for the maximum amount of state funding and because these items are the most in need of critical repair. The Board set out to include as many projects as possible in the first question without a tax increase. It was important to the Board that a tax neutral question option was included on the ballot to give the community members choices when it comes to their level of investment.

Solar panels purchased through a previous referendum are at or past the end of their useful life. Repairs to damaged panels are costly, and the panels are no longer producing enough electricity to offset the costs of those repairs, so removing them is a more cost-efficient option. 

In addition, the new HVAC systems proposed in the referendum would be more efficient than current systems. An energy advisor has predicted a savings of at least 10%. 

The district maintains the warranty by completing regular maintenance on large-ticket items like HVAC and roofing. The district has annual maintenance contracts with various companies to keep up HVAC, electrical, and plumbing running, but these repairs can only go so far. Once the equipment is outdated, it is more at risk of breaking down and requiring costly repairs. 

The district is able to keep much of the work in-house, to keep costs down and help employ community members.

Lacey Township has timed the referendum to take place when a drop in debt service occurs. If approved by voters, the new investment would replace the previous improvements for which the district issued debt. 

Completing major improvements with the help of state aid and good timing keeps the tax rate steady over time. 

The total Project Costs Across all Three Questions: $92.5 million in improvements and the state would cover up to 40% of the eligible costs, which for Lacey Township is estimated at approximately $35.8 million. 

QUESTION 1: NO TAX INCREASE: $29,958,000 in improvements and the state would cover up to 40% of the eligible costs, estimated at approximately $11.983 million.  

Good timing would allow Lacey Township to complete the projects in Question 1 with no tax increase for the owner of a home assessed at the township average of $287,011. Completing major improvements with the help of state aid and good timing allows us to keep the tax rate steady over time.  

QUESTION 2: $12 PER MONTH SCHOOL DEBT TAX INCREASE* : $37,975,480 in improvements and the state would cover up to 40% of the eligible costs, estimated at approximately $15.2 million.  

QUESTION 3: $8 PER MONTH SCHOOL DEBT TAX INCREASE*: $24,544,500 in improvements and the state would cover up to 40% of the eligible costs, estimated at approximately $8.6 million.  

*Based on the average assessed home in Lacey Township of $287,011.  

The costs of the projects in Lacey Township would be spread over 20 years among everyone who pays property taxes. With voter approval in March, tax payments for this next investment would pick up where previous payments drop off. This timing allows the district to fix the schools’ infrastructure while keeping the tax rate steady over time. 

If voters reject all three Questions on the ballot, school debt taxes for the owner of a home assessed at the Lacey Township average of $287,011 would decrease by $110 on the annual tax bill. 

The district can’t spend more than the amount approved by voters in the bond referendum. That’s why the district worked with experts in the field to thoroughly research the projects and costs and include a contingency in the total. If actual costs exceed what voters approved, plans would have to be adjusted to fit the budget. 

The Board is only allowed to spend money on the projects approved by the voters. If the projects are complete and there are remaining bond proceeds, that money would be used to offset debt and lower the tax rate. 

The amount borrowed for a bond referendum is a set amount - legally the district can only borrow the amount stated on the ballot. A reassessment, or revaluation, generally increases the tax base (total assessed value of all taxable properties) and can increase the assessed value of homes. 

Even if the home’s assessment increases, the tax rate could drop because the debt is spread across the aggregate higher assessment of properties. The tax impact is measured per $100 of the home's assessment. As a result, the math typically balances out and does not significantly increase the tax impact, even if the home’s assessment goes up.

Assessed value, which is used to determine a homeowner's property taxes, is different than a home's market value. The market value of a home is typically a higher figure and is an estimate of how much a home could sell for in the current market. The average assessed home in Lacey Township is $287,011. The average home assessment is derived from the Ocean County Abstract of Ratables (2024) and the Average Residential Assessment Report (2024). Inputting your address into this website will give you your home’s assessed value. 

The Lacey Township School District bond referendum has two questions that, if approved, would result in a tax increase to cover the cost of proposed projects. 

The State of New Jersey has several tax relief programs including a new one called Stay NJ. As of the 2024 tax year, the state combined its varied applications into one streamlined process. The deadline to file is October 31, 2025. 

• The new program called “Stay NJ” reimburses up to half the property tax bill of eligible applicants. For 2024, the benefit is capped at $6,500. 

• The program known as the "Senior Freeze" holds property taxes at the rate that existed when the applicant became eligible for that program. 

Stay NJ Eligibility 

Approved applicants are reimbursed 50% of the property tax bill up to $13,000 (which makes the maximum benefit $6,500). You are eligible if: 

• You are 65 or older.  

• You owned and lived in your home for the full 12 months of 2024. (Mobile homeowners are not eligible.) 

• Your total annual income in 2024 was less than $500,000. 

• The Stay NJ benefit is calculated after benefits from any other property tax relief program. 

Senior Freeze Eligibility 

Once applicants are approved, their property tax payments are “frozen” at the current amount, and they will receive a rebate if taxes increase because of public school taxes or any other reason including local/county taxes. You are eligible if: 

• You are 65 or older, 

• OR have been receiving federal Social Security disability benefit payments since 2023. 

• You have owned and lived in your home since December 31, 2020. (Mobile homeowners are eligible.) 

• Your total annual income in 2024 was $168,268 or less. 

For more tax relief info: call 800-882-6597 or visit nj.gov/treasury/taxation/relief.shtml 

Polls will be open on Tuesday, March 11, 2025 from 7 a.m. to 8 p.m. Poll locations are listed according to district here. If you are not sure of your district, you can search by your address on this website.

Vote By Mail is available for this special election.  

• If you have already requested a ballot to be mailed to you, and if your address is the same, Ocean County may send you a Vote By Mail ballot automatically before the election. Look online for information about voting by mail.    

• If you have questions or require assistance, contact the Election Office at (800) 722-0291 ext. 2153 or (732) 929-2153.    

• To request a Vote By Mail ballot, download an application from this website. The county must receive that application by March 4 to mail you a ballot, or by 3 p.m. on March 10 to give you a ballot in person.   

• When you receive your Vote By Mail ballot, fill it out and either:     

• Mail it in with a postmark by March 11, or   

• Deliver it in person to the County Clerk’s Office by 8 p.m. March 11.   

Mail-in ballots cannot be submitted at polling places.