During the district’s strategic planning process, teachers, administrators, board members, parents and members from the broader community collaborated to identify district priorities. The top three priorities from this process that would be addressed in this referendum include upgrades to the critical building envelope and MEP systems, safety and security improvements as well as program enhancements for students to provide them with modern learning environments to best prepare them for the future. More details can be found on the projects page of the bond referendum website. 

Sea Bright is currently seeking to withdraw from Shore Regional. This effort has been the subject of litigation over the last three years, and that litigation may continue for years to come. However, Shore Regional needs funding for these upgrades now, which will have to be addressed regardless of the final decision on Sea Bright’s withdrawal. Shore Regional will be holding a bond referendum on Tuesday, March 11.

Sea Bright’s bid to withdraw from the district would need approval from the New Jersey Department of Education and would then require approval of its subsequent regionalization by the voters in Sea Bright and the municipalities with which it intends to regionalize going forward. Whether Sea Bright will be responsible for any outstanding debt if they are successful in leaving Shore Regional will not be considered by the Department of Education until after the bond referendum election. 

To help voters understand the potential implications of Sea Bright’s efforts to leave Shore Regional, financial advisors forecast that, if the Department of Education says it is not responsible for any debt service in the future, the tax impact could amount to an additional $5 to $7 per month for the three remaining towns - Oceanport, Monmouth Beach and West Long Branch.

Proposed improvements total $51 million and qualify for approximately $14 million in state aid. State aid is only available upon approval of the referendum and would offset the amount to be repaid. The Board believes making these upgrades through a referendum is a fiscally responsible approach. The District has a borrowing capacity of about $220 million, meaning the Board is proposing less than 25% of that. A high borrowing capacity often indicates that a district is due for long-term upgrades.  

Referendums are used by school districts across the state to complete large-scale projects. For example, Manalapan-Englishtown voters recently approved a $115 million referendum to make upgrades to their schools.

Large referendum projects are expected to span more than three years due to the time required for the design, bidding, local and state level permits, equipment lead times and construction scheduling around the school calendar. Therefore, the cost projections of the projects are conservative to allow for any future cost escalation, supply chain issues, and/or any unforeseen circumstances that may arise.

These contingency costs, plus soft costs, are required to be included in the proposal and have already been factored into the estimated tax impact. There is an added safeguard for the community – if voters approve the referendum, the district is not permitted to spend more than the amount on the ballot.

If the referendum is denied by voters the Board would still have to decide how to best address the district’s needs. Improvements in the $51 million proposal cannot be absorbed through the annual operating budget, which covers day-to-day operations including salaries and maintenance and is limited by the annual 2% levy cap. The operating budget is largely funded by local tax dollars and would not include the benefit of about $14 million in state aid. This will result in decade/s of additional time and efforts to address needs which would cost more due to construction cost escalation.