CRANFORD — The Cranford Board of Education introduced a preliminary budget of approximately $78.8 million for the 2024-2025 school year during a work session of the board on Monday.

The preliminary budget of $78,788,827 was presented by Board Secretary and Business Administrator Robert Carfagno, who told this board that state-mandated cost increases and other existing challenges throughout the district made this year’s package one of the “top five or top three hardest budgets to put together.”

New Jersey state law dictates that the district will only be allowed to raise the local tax levy by about 2 percent plus certain permissible increases related to healthcare and other services.

The mandated cap, Mr. Carfagno said, was introduced as a way to curtail spending and manage property taxes in tax-funded districts like Cranford.

“In theory, it’s a good thing, but the 2-percent squeeze is catching up to us,” Mr. Carfagno said, adding that this year’s mandated salary and benefit increases alone would bring the district to its limit. “We are kind of at the crossroads now. We’re okay with this budget. We maximized revenues and used all our surplus. But we really need to focus going forward.”

“This is as tight as it’s going to get,” Mr. Carfagno said. “I think it’s a good product, but we are at a crossroads. The only way to fix it would be to cut things, but there are no cuts in this budget. So it’s a good project and we are in a good spot right now, but there is no guarantee we’re going to stay like that.”

The summary of the preliminary budget included the general fund budget, or operating budget, in the amount of $76,756,841. With federal and state grants as well as the debt service budget, the amount of the total district budget is $78,788,827. Salaries and benefits account for 80.64 percent of the total operating budget. Other major areas of expenditure include out-of- district tuition costs, transportation costs, energy costs, extraordinary services for students, and liability insurance.

“We are going to try to reallocate resources to get next year’s budget which is what we are looking at,” Mr. Carfagno said.

The board also welcomed Kristen D’Anna, the new principal at Brookside Place School, during Monday night’s meeting.

Superintendent Scott Rubin, Ed.D., thanked outgoing principal Michael Klimko for his 16 years of service to the district.

“[Mr. Klimko] has served our com- munity, and we are very fortunate to have had his services for so many years,” Dr. Rubin said. “We will be celebrating him at a future board meeting when we celebrate all our retirees.”

Ms. D’Anna thanked the board and expressed her desire to see both the students at Brookside Place School, and the school where she currently works, Bloomingdale Avenue School, succeed. She transitioned into administration at East Hanover Township Schools and became principal of the K-12 school. She graduated with a Master of Arts degree in Educational Administration from Georgian Court University. Ms. D’Anna shared that she will miss Bloomingdale Avenue School but that she is working hard to assist with a smooth transition of leadership.

“Thank you to Dr. Heineman, Dr. Rubin, and most importantly, the board of education,” Ms. D’Anna said. “I look forward to taking this next step here in Cranford, making a smooth transition for both school communities, and I hope for the continued success of both Bloomingdale Avenue School and Brookside Place.”