Students suffer when public officials mismanage funds. Layoffs in staff and cuts to programming are usually made to address the school districts shortcomings. Two school districts in New Jersey recently faced the harsh reality of large budget deficits. Perth Amboy and Hackensack are a tale of two cities; both faced budget deficits due to mismanagement. One city, Hackensack, elected officials unified in support of students and staff by making sure no cuts to staff were made. Perth Amboy on the other hand eliminated positions, programs, and services to make up for the $13 million deficit, while simultaneously giving top administrators salary increases.
New Jersey State auditor David Kaschak conducted an investigation into Perth Amboy school district from July 1, 2021 to June 30, 2025. The audit found that Perth Amboy school district had a budget deficit of $13,040,742 caused by mismanagement. The Perth Amboy Board of Education handled the deficit by cutting staff and eliminating programing and services and at the same time the board approved salary increases for top administrators. Superintendent David Roman preceded over the district during the period the audit took place.
Hackensack handled their school budget crisis differently than Perth Amboy. The school board supported an independent audit of the district’s finances. The audit revealed a $17 million deficit caused by mismanagement. The school board is suing former school Superintendent Thomas McBryde for mismanagement of funds. The district was facing layoffs of up to 90 staff positions. The City Council and Administration worked with the Board of Education and approved an emergency transfer of $6.5 million to stop any layoffs and programming cuts. Hackensack City Council noted that by granting long term tax exemptions (PILOTS) for luxury housing developments increased student enrollment without contributing to school revenue.
Responsible governance is needed to move a community forward. Recently, Perth Amboy City Council approved a 30-year $230 million long term tax exemption to billionaire scion, Jared Kushner, for luxury waterfront rentals. The project will add more students to the district but won’t add revenue. Perth Amboy School Board and administration claim that there is no deficit and that the publics interest in the audit is solely political. Hackensack was transparent with its audit and is holding those responsible accountable for the mismanagement. Perth Amboy chooses the opposite.
by BJ Torres
