CHERRY HILL—The district's Board of Education faces a preliminary vote tonight on a budget proposal that would cut $14.5 million in spending and raise property taxes by $420 annually on average.

The 7.4% tax levy increase comes just three years after residents approved a 20-year bond referendum that also raised annual property taxes an average of $400. If the preliminary budget passes, Cherry Hill homeowners would face a combined $820 annual school tax burden increase from the two measures alone.

Cuts to Come, but Exact Layoffs Unclear

Business Administrator Jason Schimpf told the board on March 20 that the district faces a "starting deficit of $29 million." The district plans to close the gap through $8 million in non-personnel cuts, $6.5 million in staff reductions and the $14.8 million generated by the tax increase. District officials confirmed the cuts would eliminate "over three dozen positions" and include restructuring, though specifics on layoffs versus attrition remain undisclosed.

"We will feel the impact of these cuts. They will bring some pain," Schimpf said. "These are things that are needed and necessary to continue providing the types of programs and services we do here at Cherry Hill."

Cherry Hill is the 11th largest district in New Jersey with 10,760 students speaking 72 languages. The district will lose $857,788 in state aid under Governor Mikie Sherrill's proposed budget, marking the third consecutive year of reductions and leaving Cherry Hill with $27.7 million in total state funding.

Board president Gina Winters called the state aid reduction "unconscionable" and will testify Wednesday in Trenton. "There is no way that we can make this budget work," Winters said. "We can't solve this on our own."

Structural Deficit Driven by Health Cost Increase

The district's fiscal crisis stems from a structural deficit that exceeds the state aid loss. While Cherry Hill faces only a 3% state aid cut, district costs have surged: healthcare premiums jumped $10 million, transportation costs increased and special education expenses climbed.

"This year, our starting point is a deficit of $29 million," said Cherry Hill education board vice president Adam Greenbaum. "That's slightly more than our total state aid last year. And instead we got a 3% cut."

The 2022 bond referendum funds critical infrastructure repairs across 19 schools, the newest of which was built in 1970. The properties require work includes HVAC replacement, roofing repair, asbestos abatement and security upgrades. The state had previously committed $113 million toward the $363 million total cost, but the remaining local share falls entirely on property taxpayers through 2043.

Former board member Laurie Neary urged administrators to prioritize administrative cuts over classroom reductions. "Sick to my stomach is probably an understatement," Neary said. "When we are looking at cost cuts, before we are going into those buildings and start cutting services and supports, we need to look in our administration building."

State regulations related to the healthcare cost increases allow Cherry Hill to exceed the usual tax increase cap of 2% permitting the 7.4% levy that would generate $14.8 million for the district.

Other Districts Also Facing Tighter Budgets

The budget pressure extends beyond Cherry Hill, which stands at the epicenter of a funding crisis that affects 13 districts across Burlington, Camden and Gloucester Counties. Haddonfield anticipates losing five paraprofessionals and 3.5 full-time positions, despite receiving a $48,000 state aid increase rather than the expected cut. Likewise, Collingswood faces $305,000 in state aid losses.

The preliminary budget vote is scheduled for 6:30 PM tonight at the Arthur Lewis Administration Building. If approved, the preliminary budget moves to the Camden County Superintendent for review before a final board vote on April 28.

Sources

● Philadelphia Inquirer, "Cherry Hill schools weighing $14.5 million in cuts" (March 20, 2026)

● South Jersey Media, "District loses over $850k in state funding" (March 20, 2026)

● NJ.com, "Cherry Hill schools face $14.5M deficit" (March 24, 2026)

● Cherry Hill Board of Education, BoardDocs agenda (March 24, 2026)